Has the tide turned with Trump... KOSPI closes higher led by major tech stocks

Hanwha Solutions and CS Wind Eco-Friendly Stocks Plummet

[Asia Economy Reporter Minji Lee] The KOSPI, which showed high volatility due to the progress of the U.S. presidential election, closed higher on the 4th. Large technology stocks showed a sharp rise, but eco-friendly stocks, considered beneficiaries of candidate Joe Biden, declined.

The KOSPI closed at 2,357.32, up 0.6% (14.01 points) from the previous session. The KOSPI opened at 2,361.32, up about 0.8% from the previous session, influenced by the U.S. stock market that predicted Biden's lead. However, as the vote counting progressed, the market turned downward during the session as President Donald Trump performed well in battleground states, contrary to expectations.

On the 4th, KOSPI started trading at 2361.32, up 18.01 points (0.77%) from the previous trading day, as dealers were working in the Hana Bank dealing room in Jung-gu, Seoul. KOSDAQ opened at 826.04, up 7.58 points (0.93%). The won-dollar exchange rate started at 1128.3 won, down 5.8 won. Photo by Kim Hyun-min kimhyun81@

Looking at investor trends, individual investors sold stocks worth 167.2 billion KRW, foreigners sold 218.3 billion KRW worth of stocks, while institutions alone net purchased 344.2 billion KRW.

In the KOSPI market, large technology stocks showed a sharp rise. On the other hand, eco-friendly stocks plunged. NAVER recorded 298,000 KRW, up 5.5% from the previous session, and Kakao (6.8%) and NCSoft (7%) also showed significant gains. Conversely, eco-friendly stocks such as CS Wind (-9.86%), LS (-5.54%), Sinsung ENG (-8.58%), and Hanwha Solutions (-8.86%) declined.

The KOSDAQ index closed at 826.97, up 1.04% (8.51 points) from the previous session. The index opened at 826.04, up 0.93% (7.58 points) from the previous session, but showed high volatility as it turned downward during the session. Looking at investor trends, individual investors maintained net buying but switched to net selling, selling stocks worth 62.6 billion KRW. Meanwhile, institutions and foreigners switched to net buying near the end of the session, purchasing stocks worth 8.4 billion KRW and 78.5 billion KRW, respectively.

Among the top market capitalization stocks in the KOSDAQ market, Celltrion Healthcare closed at 90,700 KRW, up 2.02% from the previous session. Others such as Alteogen (8.21%), Celltrion Pharm (0.97%), KMH (4.06%), and EcoPro BM (0.82%) also rose.

Lee Kyung-min, a researcher at Daishin Securities, said, “Due to the unexpected re-election of Trump, large IT and internet stocks showed strength, while renewable energy-related stocks weakened. It is expected that there will be no significant changes in the existing leading stocks (internet, semiconductors, secondary batteries, pharmaceuticals & bio, automobiles) in the domestic stock market.”