[Asia Economy Reporter Ji Yeon-jin] On the 8th, the KOSPI index closed higher, supported by buying pressure from foreign investors. The KOSPI recorded an upward trend for six consecutive trading days due to the return of foreign investors.
On that day, the KOSPI closed at 3,143.26 (0.19%), up 5.85 points from the previous day. Individual investors net bought about 362 billion KRW, and foreigners also net bought 111.4 billion KRW. On the other hand, institutions net sold 480.3 billion KRW.
The KOSPI opened at 3,137.25, down 0.01% (0.16 points) from the previous day, and widened its losses in the early session. However, it rebounded during the session and then turned downward again in the afternoon. Before the close, the scale of foreign net buying increased, leading to a reversal to an upward trend.
Among the top 10 stocks by market capitalization, Kia recorded the largest gain, rising 2.11%, and Celltrion also jumped 1.80%. Hyundai Motor (0.65%), Kakao (1.11%), and Samsung SDI (0.46%) also showed strength. Conversely, Samsung Electronics fell 1.05%, and Naver (NAVER, -0.78%), LG Chem (-0.12%), and Samsung Biologics (-0.26%) also recorded declines.
Construction-related stocks rose 3.83%, showing the largest increase, and pharmaceutical-related stocks also rose 1.44%. This is interpreted as a result of the election of Oh Se-hoon, the People Power Party candidate who pledged to ease real estate regulations in the Seoul mayoral election the day before. In particular, Hanshin Engineering & Construction (15.66%), Daewoo Engineering & Construction (7.86%), and GS Engineering & Construction (7.86%) showed strong performance.
Kang Kyung-tae, a researcher at Sangsangin Securities, said, "Seoul Mayor-elect Oh Se-hoon plans to propose an amendment to the Seoul Urban Planning Ordinance to ease high-end housing regulations," adding, "It is expected that Seoul's housing-related policies will be relaxed." Kang said, "It is time to focus on the expansion of large construction companies that are increasing the proportion of redevelopment projects among the total supply volume."
The KOSDAQ index also closed at 982.02, up 8.80 points (0.90%). Individuals net bought about 42.3 billion KRW, while foreigners and institutions net sold about 24.2 billion KRW and 30.1 billion KRW, respectively.
Among the top 10 stocks by market capitalization, except for three stocks?Pearl Abyss (-1.04%), EcoPro BM (-0.42%), and SK Materials (-1.15%)?all others rose. In particular, Seegene, a COVID-19 diagnostic kit company, surged 19.37% from the previous day following the announcement of a free capital increase and news about COVID vaccine side effects.
NH Investment & Securities researcher Noh Dong-gil explained, "Foreigners had been net sellers in the domestic stock market for some time, but recently, the perception of Korea's IT sector has changed, making foreigners the most important players in the domestic market now," adding, "The index rebounded as the scale of foreign futures market selling decreased during the session after early selling pressure."
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