RealMarket: Monday declines are a trap - Semiconductors will lead the rebound / Why Friday's surge is not the end - next week's market is more important | Director Lee Ju-yeon

Summary

Director Lee Ju-yeon reviews the recent strong bounce in Korean markets and outlines the near-term outlook. She expects KOSPI to recover to 7,400-7,500, led by semiconductors, power equipment, and semiconductor equipment sectors. After the initial recovery, she anticipates rotation into beaten-down sectors such as autos, pharma/biotech, 2nd batteries, and robotics. She also notes positive export data and upcoming catalysts like the second citizen growth fund for KOSDAQ, while advising that Monday's expected dip is a buying opportunity.

• Friday's surge marks a normalization and the lows of the week should hold; Monday's softness is buying opportunity
• Semiconductor, power equipment, and semiconductor equipment/materials sectors are the leaders for the bounce toward KOSPI 7,400
• Samsung Electronics and SK Hynix have near-term upside to 300,000 and 200,000 won, respectively
• After the initial semiconductor-led recovery, rotation is expected into autos, pharma/biotech, 2nd battery, and robotics
• July export data showed strong semiconductor exports, supporting the bullish case
• Big Tech earnings resolved AI investment concerns, reinforcing the AI and semiconductor thesis
• Geopolitical risks (US-Iran) and rising US Treasury yields could cause short-term pressure but are unlikely to derail the recovery
• The government's second citizen growth fund selection may provide a catalyst for KOSDAQ