KOSPI Index Surpasses 7,000 as Citi Maintains 10,000 Target

South Korea's KOSPI index surpassed 7,000 points on Thursday, July 23, rising 4.17% to 7,081.21, driven by a rally in tech shares following Alphabet's earnings and a rebound in the chip sector. The index had closed at 6,797.70 the previous day, up 0.74% after a 5% intraday surge. Alphabet reported Q2 revenue of 119.8 billion dollars, a 24% year-over-year increase, with Google Cloud growing 82%, and raised its capital spending forecast, boosting demand for AI infrastructure. Gains were led by Samsung Electronics and SK Hynix, the KOSPI's largest constituents, which continued their rebound from an earlier AI-driven selloff. Rising oil prices and tensions in the Strait of Hormuz tempered the rally. Citi's analysts reiterated a 10,000 price target for the KOSPI, suggesting over 50% upside from earlier levels this week. They view the recent pullback as a buying opportunity, attributing it to technical profit-taking rather than fundamental shifts. The KOSPI has dropped as much as 28% from its June record high, indicating a technical bear market. Thursday's rise above 7,000 needs to be sustained, as Wednesday's reversal at the same level highlights the potential for a quick fade in the rally.

Disclaimer: This content is provided for general branding and informational purposes only and doesn't constitute financial, investment, legal, or tax advice. Any events, rewards, online events, or related information mentioned herein should not be considered a recommendation, solicitation, or invitation to purchase, sell, trade, or otherwise deal in any crypto assets or to use any services. Crypto assets are highly volatile and may result in loss. WEEX services and online events may not be available in all regions and are subject to applicable laws, regulations, and eligibility requirements. You are responsible for ensuring that your use of WEEX services complies with local laws and for carefully assessing the risks before participating in any crypto-related activities.