KOSPI Closes Above 2350... KOSDAQ Also Turns Upward in Late Trading

[Asia Economy Reporter Oh Ju-yeon] On the 20th, the domestic stock market, which showed a downward trend during the day, turned to an upward trend before the market closed, with the KOSPI closing above the 2350 level.

On this day, the KOSPI closed at 2358.41, up 0.50% from the previous trading day. By investor type, individuals sold a net 291.9 billion KRW worth of stocks, while foreigners and institutions bought a net 43.1 billion KRW and 260.6 billion KRW worth, respectively.

Among the top market capitalization stocks, Samsung Electronics (1.50%), NAVER (1.40%), and LG Chem (0.98%) rose, while SK Hynix (-1.73%), Samsung Biologics (-0.58%), and Hyundai Motor (-0.30%) declined.

The KOSDAQ index closed at 824.65, up 0.29% from the previous trading day. Although the index fell by 1% during the day to as low as 803.24, it later reduced the loss and reversed to an upward trend.

By investor type, individuals and institutions sold 22.9 billion KRW and 59.6 billion KRW worth of stocks, respectively, while foreigners bought 92.4 billion KRW worth.

Among the top market capitalization stocks, Celltrion Healthcare (-3.34%), Seegene (-1.37%), and Celltrion Pharm (-2.59%) declined, while HL Biopharma (3.58%) and Alteogen (0.61%) rose.

Lee Kyung-min, a researcher at Daishin Securities, analyzed, "In the absence of upward momentum, the market fluctuated around the mid-2300 level. The resurgence of COVID-19 centered in the US and Europe and the uncertainty over whether an agreement would be reached ahead of the US additional economic stimulus negotiation deadline on the 20th (US time) are being closely watched."

From the supply and demand perspective, the market initially surpassed the 2350 level thanks to net selling of foreign futures and net buying of institutional cash stocks, but as the net buying volume shrank, the market turned downward during the day. The researcher added, "However, currently, US after-hours futures are recording gains (S&P 500 up 0.31%, Nasdaq 100 up 0.47%), and the USD/KRW exchange rate has entered the 1130 won range, creating favorable conditions for foreign investor demand and supporting the market's downside."