Domestic Stock Market Starts Up... "Have Short-Selling Concerns Been Shaken Off? Individual Investors Alone Net Buyers"

[Image source=Yonhap News]

[Asia Economy Reporter Lee Seon-ae] The domestic stock market started on a rising note. Individual investors, who had been hesitant due to concerns about the resumption of short selling, are leading the rise by showing a buying preference in both the KOSPI and KOSDAQ markets.

On the 10th, the KOSPI index opened at 3,201.46, up 4.26 points. As of 9:20 AM, it is recording 3,216.73, up 0.61%. Individuals are buying stocks worth 37.6 billion KRW, while foreigners and institutions are net selling 16.9 billion KRW and 19.5 billion KRW respectively.

By sector, non-metallic minerals (+0.54%), transportation equipment (+0.31%), and distribution (+0.31%) are showing strength, while telecommunications (-0.26%) and textiles and apparel (-0.02%) are declining.

The KOSDAQ index opened at 979.38, up 1.08 points. As of 9:20 AM, it is recording 981.31, up 0.315 points. Individuals are net buying 79.9 billion KRW, while foreigners and institutions are net selling 56.6 billion KRW and 20.3 billion KRW respectively.

By sector, entertainment and culture (+0.36%), digital content (+0.23%), and other services (+0.20%) are showing strength, while IT components (-0.07%), information technology (-0.05%), and medical and precision instruments (0.00%) are declining.

Researcher Chae Hyun-gi of Cape Investment & Securities said, "This week’s domestic stock market can be summarized with two keywords: the possibility of a rebound in growth stocks and the continued rise of cyclical stocks," adding, "The expected weekly band for the KOSPI is between 3,130 and 3,250. Factors expected to drive the rise include the possibility of a delayed tapering discussion and statements from Federal Reserve officials, while a higher-than-expected consumer price index is cited as a potential downside factor."