08/21 Korea Market Morning Briefing — KOSPI Rebounds +5.89%, Foreigners Turn to Net Buying +1.71T KRW… Semiconductors Hold Ground Amid US Futures Decline

On the previous day (8/20), KOSPI closed at 6,852.58, rebounding +5.89% from the previous trading day. KOSDAQ also rose together to 840.89 (+1.99%). This is a continuation of the recovery trend after the correction that pushed it down to 5,593 at the end of July. (Data As Of: 2026-08-20, Source: KRX)

The supply-demand situation clearly diverged. In KOSPI, foreigners turned to net buying of 1.71 trillion KRW, while institutions collectively sold net 490 billion KRW for 4 consecutive trading days, and retail investors sold net 2.27 trillion KRW, reversing direction after two days. Other corporations bought 1.05 trillion KRW, forming a net buying axis with foreigners. In KOSDAQ, foreigners were slight net sellers at -130 billion KRW, while institutions were net buyers at +120 billion KRW, showing divergent directions. (Calculation verified: KRX daily supply-demand aggregation, positive numbers = net buying)

The previous day's KOSPI surge was structured around "foreigners + other corporations buying vs. retail + institutions selling." Notably, foreigners reversed from -3.47 trillion KRW to +1.71 trillion KRW in just one day, following the extreme polarization on 8/19 where foreigners sold -3.47 trillion KRW while retail bought +4.64 trillion KRW. On a monthly basis, foreigners have been net sellers of domestic equities for 7 consecutive months by selling 31.6 trillion KRW in July (Financial Supervisory Service data, media reports), so whether the daily net buying represents a structural trend reversal or responsive dip buying will need to be judged over the next few days of continuity.

IS Dongseo (010780) Concludes Share Buyback Trust Agreement — Disclosed via DART electronic filing (received on 2026-08-20, Report on Major Matters). This constitutes a shareholder return disclosure aimed at reducing circulating share supply. Other major filings received from the previous day to today predominantly consist of small-and-medium convertible bond (CB) issuances (Entotech, IMT, etc.) and paid-in capital increases (EM&AI, etc.). (Source: DART Electronic Filings)

Upcoming Schedule: There are no major domestic or international economic indicator releases today (8/21). Next Tuesday (Korea time, early morning of 8/26), the U.S. Q2 preliminary GDP and PCE inflation figures will be released simultaneously.