[NewsSpace=JeongYoung Kim]  With Samsung Electronics leading the way, the KOSPI index rose above 2500 points on April 10th. The KOSPI closed at 2512.08, up 21.67 points (0.87%) from the previous day. This is the first time in 88 trading days since December 1, 2022 (2501.43) that the KOSPI has exceeded 2500 during trading hours, and the first time in about 8 months since August 18, 2022 (2508.05) in terms of closing price.

Samsung Electronics' stock price rose for the second consecutive trading day after a 4.3% increase on April 7th. Samsung Electronics closed at 65,700 won, up 1.08% (700 won). SK Hynix, leading the semiconductor sector along with Samsung Electronics, recorded 97,000 won, up 1.8% (1,600 won).

Last Friday's announcement of Samsung Electronics' earnings shock gave credibility to the semiconductor production cut decision and is interpreted as a forecast that the current oversupply of DRAM will be resolved in the near future, contributing to the rise in Samsung Electronics' stock price.

Securities industry has also competitively raised their target prices for Samsung Electronics, as the second half of 2023 is expected to see a slight economic rebound, leading to a balance in semiconductor supply and demand and a recovery of semiconductors as a leading indicator.

Stock analysts in the securities industry warn, "We largely agree with the bottom of Samsung Electronics stock price. However, semiconductor is an industry sensitive to the economy, and there are uncertainties in the economic recovery. If international oil prices fluctuate due to the outcome of OPEC+ oil output cuts and raw material prices soar due to China's reopening, the speed of controlling inflation will be slower, delaying the timing of interest rate cuts. This will inevitably lead to a delay in semiconductor demand. Therefore, there is a need to monitor the economic situation in real-time, as semiconductor cycles move first and fall first depending on the global economic situation."

Meanwhile, they added, "The government must actively relax the serious toxic provisions of the U.S. semiconductor support law. The meaning of excess profit recovery is the sharing of management information, and the demand for access to semiconductor facilities is critical in maintaining technological superiority. It is deemed an unreasonable request to restrict investment in Chinese semiconductors for 10 years, given the reliance on China in the semiconductor industry."