South Korean brokerage houses expect the local stock market to continue its upturn to reach a new zenith in 2021 on expectations for an economic recovery, sources said Monday.

Thirteen securities companies have forecast the upper-end target band for the benchmark Korea Composite Stock Price Index (KOSPI) to range from 2,630 to 3,000 in the coming year.

The expected range surpasses the key stock index's all-time high of 2,568.54 and an intersession record of 2,607.10.

Heungkuk Securities Co. has offered the highest forecast of 3,000 for next year, citing a strong rebound in Asia's fourth-largest economy.

In light of a global economic recovery and Joe Biden's win in the US presidential election, the South Korean economy is strongly tipped to grow in the upper 3 percent range next year, Heungkuk Securities said.

Driven by chipmakers and automakers, the combined operating profit of KOSPI companies is projected to spike 38 percent in 2021 from this year, the brokerage house added.

In contrast, DB Financial Investment Co. has presented the lowest KOSPI projection of 2,630 due to negative external factors, such as high corporate indebtedness in the United States and other major economies.

Eleven other securities companies, including NH Investment & Securities Co., predicted to the upper end for the main stock price index to stay between 2,700 and 2,900 next year.

NH Investment & Securities, Samsung Securities Co. and four brokerage houses have set their upper-end KOSPI targets for next year at the 2,800-point range.

Bolstered by brisk foreign buying, the KOSPI rose for the third consecutive day Friday to close at 2,553.5, up 0.24 percent from the prior session and the highest since Feb. 1, 2018. (Yonhap)