SK Hynix Invests $920 Billion to Buy Back Shares, Boosting Korean Stocks Over 3%

The South Korean stock market experienced a significant surge on Thursday, driven by SK Hynix's announcement of a massive share buyback program. The KOSPI index climbed over 3%, approaching the 6700-point mark. SK Hynix revealed its plan to repurchase and cancel shares worth 40 trillion Korean won (approximately $40 billion USD or 920 billion New Taiwan dollars). This move is intended to enhance shareholder returns. Furthermore, the semiconductor giant detailed its intention to distribute more than 50% of its free cash flow to shareholders annually from 2025 through 2027. The news provided a strong impetus for the market, which had already seen a positive opening. The KOSPI opened higher and continued its upward trajectory, reaching 6688.29 points, marking a 3.35% increase. This rally mirrored positive movements in other Asian markets, which were also buoyed by a stabilizing U.S. bond market following intervention by U.S. Treasury Secretary Bessent. The Nikkei index in Japan also saw gains, opening higher and trading up by nearly 600 points.