KOSPI Falls Below 2200 Due to Institutional Selling

[Asia Economy Reporter Ji-hwan Park] On the 20th, the KOSPI closed lower, driven by selling pressure from institutional investors.

On that day, the KOSPI closed at 2195.50, down 14.84 points (0.67%) from the previous trading day (2210.34). The KOSPI started at 2223.55, up 13.21 points (0.60%) from the previous day, signaling a positive start, but turned to a downward trend from the morning. This is interpreted as growing concerns about the economic impact due to the sharp increase in domestic COVID-19 cases.

Looking at trading trends by participant, individuals and foreigners net bought 194.5 billion KRW and 110.5 billion KRW respectively. On the other hand, institutions sold off 340.5 billion KRW worth of stocks.

By sector, food and beverages (-1.57%), chemicals (-0.25%), and pharmaceuticals (-1.28%) declined, while paper and wood (1.56%) and electric and gas utilities (0.09%) rose.

Among the top market capitalization stocks, LG Chem (3.71%) and Samsung SDI (2.84%) showed notable gains. Others such as SK Hynix (0.48%) and NAVER (0.26%) also rose. Conversely, Celltrion (-1.38%), Hyundai Motor (-1.14%), Samsung Biologics (-1.29%), and Samsung Electronics (-0.33%) declined.

On that day in the KOSPI market, 186 stocks rose, including one that hit the upper price limit, while 665 stocks fell with no stocks hitting the lower price limit. 53 stocks remained unchanged.

The KOSDAQ index closed at 681.67, down 3.11 points (0.45%) from the previous trading day (684.78).

Looking at trading trends by participant, individual investors net bought 72.5 billion KRW. Conversely, institutions and foreign investors net sold 18.8 billion KRW and 41.2 billion KRW respectively.

By sector, most sectors declined including IT comprehensive (-0.67%), telecommunications and broadcasting services (-2.24%), construction (-1.25%), distribution (-0.37%), transportation (-2.13%), and finance (-1.17%).

Among the top 10 market capitalization stocks, all declined except EcoPro BM, which rose by 6.76%.

On that day in the KOSDAQ market, 367 stocks rose, including four that hit the upper price limit, while 898 stocks fell with no stocks hitting the lower price limit. 76 stocks remained unchanged.