KOSPI Settles at 3200, KOSDAQ Approaches 1000

Both Major Stock Markets Rise on Foreign and Institutional Dual Buying Pressure

On the afternoon of the 25th, when the KOSPI surpassed 3,200, the closing price of the KOSPI was displayed on the electronic board at the KB Kookmin Bank Smart Dealing Room in Yeouido, Yeongdeungpo-gu, Seoul. [Image source=Yonhap News]

[Asia Economy Reporter Minwoo Lee] Both major stock markets closed higher due to strong buying by foreigners and institutions. The KOSPI surpassed 3200 for the first time ever based on the closing price, while the KOSDAQ approached the 1000 mark for the first time in 20 years.

On the 25th, the KOSPI closed at 3208.99, up 68.36 points (2.18%) from the previous trading day. This is the highest closing record in history. After opening slightly higher at 3144.01, the index steadily widened its gains and settled above the 3200 level.

Buying by foreigners and institutions drove the index higher. Although they showed net selling early in the session, they soon switched to net buying and steadily accumulated shares. At the close, foreigners and institutions had net bought 237 billion KRW and 358.4 billion KRW respectively. In contrast, individual investors net sold 565.3 billion KRW.

Almost all sectors rose. The transportation and warehousing sector posted the largest gain of 4.88%. This was followed by telecommunications (3.57%), food and beverages (2.88%), electrical and electronics (2.76%), and manufacturing (2.31%). Only the banking sector fell by -0.81%.

Most of the top 10 market capitalization stocks were up. Kia Motors rose the most at 6.2%. This was followed by SK Hynix (5.0%), Celltrion (3.5%), Samsung Electronics (3.0%), Kakao (2.2%), NAVER (1.6%), and LG Chem (1.5%). Only Samsung Biologics (-0.5%) and Samsung SDI (-0.2%) declined.

The KOSDAQ closed at 999.30, up 19.32 points (1.97%) from the previous trading day. This is the highest level in 20 years since September 15, 2000, when it was 992.5. After opening slightly higher at 981.05, the index continued its upward trend, bringing the KOSDAQ 1000 era within reach.

In the KOSDAQ market as well, buying by foreigners and institutions was strong. They net bought 83.5 billion KRW and 89.9 billion KRW respectively, while individuals net sold 162.1 billion KRW.

Almost all sectors rose here as well. Distribution (3.88%), broadcasting services (3.79%), other services (3.77%), telecommunications and broadcasting services (3.23%), pharmaceuticals (2.76%), and digital content (2.65%) led the gains. Only the construction sector fell by -0.34%.

Most of the top 10 market capitalization stocks also rose. CJ ENM (5.4%) and Celltrion Healthcare (5.3%) posted gains above 5%. This was followed by Alteogen (4.5%), Celltrion Pharm (3.5%), Kakao Games (3.3%), Pearl Abyss (2.5%), and Seegene (2.3%). Only HLB (-0.1%) and EcoPro BM (-0.05%) declined.