[Good Morning Stock Market] Focus on AI Sector... KOSPI Expected to Start Higher

[Image source=Yonhap News]

On the 12th, the KOSPI is expected to start higher. Given that AI-related stocks showed an upward trend in the U.S. New York stock market the previous day, related beneficiary stocks are also expected to attract attention in the domestic market.

On the previous day at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 38,459.08, down 2.43 points (0.01%) from the previous session. The S&P 500 index rose 38.42 points (0.74%) to 5,199.06, and the Nasdaq index increased 271.84 points (1.68%) to 16,442.20.

The New York market recorded gains following the announcement that the Producer Price Index (PPI) for March eased compared to the previous month. The U.S. Department of Labor reported that the March PPI, seasonally adjusted, rose 0.2% month-over-month, which was below the expert forecast of 0.3% compiled by The Wall Street Journal (WSJ).

Additionally, major tech companies such as Apple and Amazon announced plans to launch AI-based applications in earnest, raising expectations for positive effects such as increased investment and cost reduction. As a result, the Nasdaq index, VanEck Semiconductor ETF, and Philadelphia Semiconductor Index showed strong performance.

Apple surged more than 4% after announcing plans to release Mac products equipped with the M4 chip, which offers AI capabilities and enhanced memory performance, by the end of this year or early next year. Amazon announced in its annual shareholder letter that it will expand investments in AI, pushing its stock price to an all-time high.

The Morgan Stanley Capital International (MSCI) Korea Index ETF rose 2.5%, and the MSCI Emerging Markets Index ETF increased 0.6%. Eurex KOSPI 200 futures rose 0.3%. Considering this, the KOSPI index is expected to start the day up around 0.4% to 0.7%.

Kim Seok-hwan, a researcher at Mirae Asset Securities, said, “Considering that some of the movements were pre-reflected the previous day, the domestic market is expected to move somewhat calmly. However, as the expansion of the AI ecosystem by major U.S. tech companies is gaining momentum, sectors and stocks that can benefit directly or indirectly are expected to be differentiated points.”

Kim Young-hwan, a researcher at NH Investment & Securities, stated, “In the short term, with increased uncertainty regarding inflation, interest rates, and oil prices, there is a possibility that demand will concentrate on the clearest sectors within the stock market. I recommend a portfolio focused on sectors related to AI investments by U.S. big tech companies such as semiconductors.”

He added, “Regarding stocks related to corporate value-up programs, since the possibility of weakening policy momentum has already been pre-reflected in stock prices since the end of March, if additional volatility occurs in related stocks, this could rather be a buying opportunity.”

Meanwhile, the one-month non-deliverable forward (NDF) won-dollar exchange rate stood at 1,366 won. Considering this, the won-dollar exchange rate is expected to start the day up by 1 won.