[Asia Economy Reporter Eunmo Koo] The KOSPI is showing a firm tone in the early session due to net buying by foreign investors. The KOSDAQ index has slightly declined, retreating to the 830 level.
On the 13th, the KOSPI opened at 2,470.12, down 5.50 points (0.22%) from the previous trading day. After starting lower, the KOSPI turned to an upward trend early in the session and is maintaining a slight gain. As of 9:20 a.m., it is trading at 2,481.63, up 6.01 points (0.24%) compared to the previous day.
Overnight, major indices on the New York Stock Exchange (NYSE) fell amid concerns over the worsening COVID-19 situation. On the 12th (local time), the Dow Jones Industrial Average closed at 29,080.17, down 317.46 points (1.08%) from the previous day. The Standard & Poor's (S&P) 500 index fell 35.65 points (1.00%) to 3,537.01, and the tech-heavy Nasdaq index closed down 76.84 points (0.65%) at 11,709.59.
Attention is being drawn to the possibility that the U.S. stock market could become unstable as additional stimulus measures in the U.S. are likely to be delayed. Sangyoung Seo, a researcher at Kiwoom Securities, explained, “If lockdowns are implemented amid delayed stimulus measures in the U.S., where COVID-19 cases are explosively increasing, credit risks for households and companies could be highlighted. Partial lockdowns in the U.S. due to COVID-19 increase the likelihood of heightened volatility in the U.S. stock market, which is likely to have a negative impact on the Korean stock market.”
Looking at the current trading trends by participant, foreign investors are net buyers with 94.5 billion KRW, while individual and institutional investors are net sellers with 82.7 billion KRW and 12.7 billion KRW, respectively.
By sector, transportation equipment, electrical and electronics, insurance, and transportation and warehousing are rising, while chemicals, pharmaceuticals, and steel and metals are falling.
Among the top market capitalization stocks, Kia Motors, SK Hynix, Hyundai Motor, Samsung Electronics, and Samsung C&T are rising. On the other hand, Samsung SDI, Celltrion, LG Chem, and LG Household & Health Care are declining.
The KOSDAQ index is slightly down. It opened at 837.28, down 2.80 points (0.33%) from the previous day, and early in the session showed a decline of around 0.5%, retreating to the 830 level. As of 9:20 a.m., it is trading at 835.10, down 4.98 points (0.59%) from the previous day.
In terms of supply and demand, institutional and foreign investors are leading the decline with net sales of 10.2 billion KRW and 0.4 billion KRW, respectively. Meanwhile, individual investors are net buyers with 11.3 billion KRW.
By sector, transportation, internet, and digital content are rising, while telecommunications equipment, pharmaceuticals, and distribution are falling.
Most of the top market capitalization stocks are declining. Genexine, Seegene, Celltrion Pharm, KMV, and EcoPro BM are showing relatively large declines. On the other hand, SK Materials and Pearl Abyss are slightly rising.
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