Key facts
- KOSPI closed up 1.76% at 5,768.01 on Monday.
- Institutional investors were net buyers of 574.66 billion won.
- Investors are weighing concerns over returns from AI infrastructure spending.
Seoul shares closed higher on Monday, with the benchmark Korea Composite Stock Price Index (KOSPI) reversing an earlier decline to finish up 1.76 percent at 5,768.01. Institutional investors provided support, buying a net 574.66 billion won (US$432 million) in shares. This buying occurred as investors grappled with concerns about the potential returns from substantial spending on artificial intelligence infrastructure. Foreign and retail investors were net sellers. Analysts noted that caution also stemmed from upcoming earnings reports from major companies like Tesla and Meta Platforms, as well as the U.S. midterm elections on Nov. 3, contributing to uncertainty over interest rate outlooks.