KOSPI Surpasses 3200... Stability in US Stock Market, Interest Rates, and Indicators

KOSPI Surpasses 3200
KOSDAQ Maintains 1000
US Stock Market, Interest Rates, and Indicators Stable

On the 16th, when the KOSPI index surpassed the 3,200 mark during the session, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. The KOSPI started at 3,194.08, down 0.25 points (-0.01%) from the previous close, and is showing an upward trend. Photo by Moon Honam munonam@

[Asia Economy Reporter Junho Hwang] The KOSPI started lower but turned to an intraday uptrend, surpassing the 3200 mark. After reaching 3204 during the previous trading day, it has stayed above 3200 for two consecutive trading days. If it closes above 3200 today, it will mark the first time in 55 trading days since January 25 that the closing price exceeds 3200. The market's rise today is analyzed to be the result of concentrated net buying by individual investors. The previous day’s strong U.S. economic indicators led the Dow Jones Industrial Average to hit an all-time high, and the market interest rates fell for the first time in over a month, which also appears to have influenced the stock market.

KOSPI Breaks Through 3200

On the 16th, when the KOSPI index surpassed the 3,200 mark during the session, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. The KOSPI started at 3,194.08, down 0.25 points (-0.01%) from the previous close, and is showing an upward trend. Photo by Moon Honam munonam@

As of 9:20 a.m. on the 16th, the KOSPI is at 3202.82, up 0.27% (8.49 points) from the previous closing price. Individual investors have net bought 202.2 billion KRW, while foreigners and institutions have net sold 56.4 billion KRW and 152.9 billion KRW, respectively. Among all listed stocks, 503 are rising, while 300 are declining.

By sector, transportation and warehousing, and transportation equipment have risen by over 1%, while telecommunications, precision medical instruments, chemicals, construction, and non-metallic minerals are also maintaining upward momentum.

Among the top market capitalization stocks, Samsung Electronics, which is paying dividends today, is trading up 0.12% at 84,200 KRW. The foreign portion of Samsung Electronics’ dividend payment is approximately 7.7 trillion KRW. SK Hynix, which is involved in the SK Telecom split issue, also rose 0.73% to 138,500 KRW. LG Chem jumped 1.91%, and Hyundai Motor and Samsung SDI also recorded gains of over 1%.

KOSDAQ Also Maintains 1000 Level

On the 16th, when the KOSPI index surpassed the 3,200 mark during the session, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. The KOSPI started at 3,194.08, down 0.25 points (-0.01%) from the previous close, and is showing an upward trend. Photo by Moon Honam munonam@

The KOSDAQ is also continuing its upward trend, rising 0.29% from the previous close to 1016.89. Individual investors have net bought 62.6 billion KRW, while foreigners and institutions have net sold 31.0 billion KRW and 31.9 billion KRW, respectively. Among all listed stocks, 732 are rising, and 522 are falling.

By sector, other manufacturing and textile/apparel sectors are showing gains of over 1%, while construction, semiconductors, transportation, pharmaceuticals, and machinery equipment sectors are also on the rise. Among the top market cap stocks, Pearl Abyss surged 2.38%, and CJ showed a 0.98% increase.

U.S. Stock Market Rises... Interest Rates Stabilize

On the 16th, when the KOSPI index surpassed the 3,200 mark during the session, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. The KOSPI started at 3,194.08, down 0.25 points (-0.01%) from the previous session, and is showing an upward trend. Photo by Moon Honam munonam@

The market’s rise today is attributed to growing expectations of economic recovery. The previous day, the U.S. Dow Jones Industrial Average surpassed 34,000 for the first time ever. The Dow closed at 34,035.99, up 305.10 points (0.90%). The S&P 500 rose 45.76 points (1.11%) to 4,170.42, and the Nasdaq closed at 14,038.76, up 180.92 points (1.31%).

Before the market opened, March retail sales surged 9.8% month-over-month, and new unemployment claims dropped sharply by 193,000 to 576,000 in just one week, showing an upward trend. Both indicators exceeded market expectations with surprising results.

The U.S. 10-year Treasury yield also fell to its lowest level in five weeks. West Texas Intermediate (WTI) crude oil prices remained above $63 for the second consecutive day. Despite the dollar’s sideways movement, gold prices rose amid escalating conflicts between the U.S. and Russia and growing concerns over tensions with China. The USD/KRW exchange rate currently stands at 1,118.40 KRW, up 0.07%.

Haedahun Han, a researcher at SK Securities, said, "The estimated net income for KOSPI in the first quarter of this year is 32.5 trillion KRW, the third largest after 2018 and 2017," adding, "Since the earnings momentum in the first half is better than in the second half, the domestic stock market is expected to continue its upward trend at least through the first half of the year."