Samsung Electronics and SK hynix Buybacks Stopped the Stock Price Crash… Next Week's FOMC Is the Real Watershed / Where Will the Stock Market Go? | Kiwoom Securities Analyst Han Ji-young

Summary

Kiwoom Securities research fellow Han Ji-young discusses the Korean equity market after the August CPI/PPI data and ahead of the FOMC. He argues that Samsung Electronics and SK hynix buybacks are cushioning the KOSPI and that foreign selling pressure has largely exhausted, though macro rates and Fed uncertainty can still cause volatility. He remains constructive on a gradual higher-low recovery, while also favoring the broadening AI infrastructure value chain and expecting memory semiconductors to retain leadership. Oracle's prepayment-backed backlog is highlighted as easing AI financing concerns.

• August PPI was mixed; core PPI mattered more than headline; CPI and FOMC remain key macro events.
• Samsung Electronics and SK hynix buybacks are providing a daily supply-demand backstop for the KOSPI.
• Foreign investors' H1 selling pressure appears largely exhausted, with selling intensity easing.
• Han expects a higher-low recovery rather than a break of prior lows or a new bear market.
• AI infrastructure opportunities are broadening beyond semiconductors into power equipment, MCC, and nuclear power.
• Memory price estimates have been revised up, easing concerns about semiconductor earnings.
• Oracle's RPO backlog and customer prepayments reduce its AI-related financing risk.
• FOMC uncertainty may create short-term volatility but is not expected to reverse the market trend.