Tech companies boosted Seoul by 0.26%
The Seoul Stock Exchange closed with a rise today. Kospi, its main indicator, increased by 0.26% thanks to big tech advances, supported by purchases by foreign investors.
The selective South Korean Kospi gained 8.46 points on Thursday to stand at 3,224.64 units. Meanwhile, the Kosdaq technological index declined by 0.92%, or 8.98 points, to 987.77 units.
The Kospi returned to positive territory today after two consecutive setbacks thanks to the appetite of foreign operators. They netted about 710 billion won (about $636 million) today.
The day started cautiously, waiting for the US to publish the CPI for May today and obtain more clues about the pace of recovery.
However, the technology sector gained momentum and dragged much of the market. It happened after the local regulator preliminarily approved the entry of the owner of the leading South Korean instant messaging service, Kakao, into the insurance sector.
Even so, Kospi’s highest-cap stock, tech Samsung Electronics, ended the day with a fall of 0.12%. However, SK Hynix, the world’s second-largest memory chip maker, increased by 0.41%.
Naver, the largest South Korean internet portal operator, increased its value by 4.18%, and Kakao climbed by 3.49%.
In the biopharmaceutical sector, Samsung Biologics advanced by 2.52%, and its competitor, Celltrion, grew by 1.53%.
Hyundai Motor, the largest national car manufacturer, slipped by 1.46%.
These two American stocks will benefit from the 5G revolution
The infrastructure that 5G requires will bring great changes and advantages: higher connection speeds, clearer signals, and better data transport capacity. With all this, investing in companies related to this new technology is a great option, according to Michael Marcus, a commodities trader on Nasdaq.
This change will require upgrading infrastructures and components, from new silicon semiconductor chips to signal testing equipment and smartphones. For this reason, Qorvo and Aviat Networks are presented as excellent options.
Qorvo is a large-cap semiconductor chip company based in Greensboro, North Carolina. It posted total revenue of $3.24 billion in 2020, making it a mid-size competitor in the chip industry.
As for Aviat, it is a provider of microwave network solutions. The company’s products include hardware such as microwave routers and switches, link units, and indoor and outdoor radios, as well as software network management, stabilization, and automation.
