Economic Recovery Optimism Overcoming US-China Conflict... KOSPI Opens Higher Surpassing 2100

2100 Openings After About Four Months Since Late February
KOSDAQ Surpasses 750, Reaching 52-Week High

[Image source=Yonhap News]

[Asia Economy Reporter Minwoo Lee] The KOSPI opened above 2100 for the first time since late February, driven by rising expectations of economic recovery despite trade tensions between the U.S. and China.

On the 3rd, the KOSPI opened at 2108.55, up 1.02% (21.36 points) from the previous day. This is the first time the KOSPI index opened in the 2100 range since February 24. The upward trend continued, reaching 2121.67 as of 9:20 a.m.

Despite concerns such as anti-racism protests and trade conflicts between the U.S. and China, the New York stock market closed higher on hopes for economic recovery, which appears to have influenced domestic market sentiment similarly. On the 2nd (local time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 25,742.65, up 1.05% (267.63 points) from the previous close. The S&P 500 rose 0.82% (25.09 points) to 3,080.82, and the Nasdaq increased 0.59% (56.33 points) to 9,608.37.

In the KOSPI market, foreigners and individuals net sold 10.8 billion KRW and 56.7 billion KRW respectively, while institutions net bought 68.7 billion KRW.

Almost all sectors showed gains. The banking sector had the largest increase at 4.07%, followed by transportation equipment (3.91%), securities (3.71%), finance (2.68%), and steel & metals (2.24%). The service sector was the only one to decline slightly by 0.05%.

Most of the top 10 market capitalization stocks also rose. Hyundai Motor led with a 4.8% increase, followed by Celltrion (3.1%), Samsung Electronics (2.5%), SK Hynix (1.3%), and LG Chem (1.0%). Meanwhile, NAVER and Samsung SDI fell by 1.2% and 1.0%, respectively.

The KOSDAQ also showed an upward trend, opening at 749.49, up 0.79% (5.91 points) from the previous day. It reached 750.14 early in the session, marking the highest level since May 8 of last year. As of 9:20 a.m., it slightly declined to 748.16.

In the KOSDAQ market, individuals net bought 27.5 billion KRW, while foreigners and institutions net sold 19.3 billion KRW and 6.4 billion KRW, respectively.

Most sectors rose as well. Transportation equipment & parts (1.84%), distribution (1.77%), digital content (1.54%), and pharmaceuticals (1.52%) showed significant gains. Conversely, software (-0.18%), food & tobacco (0.09%), other manufacturing (0.08%), and telecommunications services (0.05%) declined.

Nearly all of the top 10 market capitalization stocks rose. Celltrion Pharm led with a 17.4% increase, followed by Celltrion Healthcare (4.2%), CJ ENM (1.9%), Pearl Abyss (1.8%), and HL Biopharma (1.5%). On the other hand, Alteogen fell by 3.3%, with EcoPro BM (-2.2%) and Seegene (-1.2%) also declining.