Foreigners Sell for 4 Consecutive Weeks... Over 6 Trillion Won Sold in One Week

[Asia Economy Reporter Song Hwajeong] Foreign investors have continued to sell in the domestic stock market for four consecutive weeks. They sold more than 6 trillion won in the past week.

According to the Korea Exchange on the 16th, foreign investors net sold about 6.713 trillion won in the domestic stock market during the week from the 10th to the 14th. While they showed a selling trend of around 1 trillion won until the previous week, the scale of sales significantly increased last week. Foreign investors sold 6.3584 trillion won in the KOSPI market and 354.4 billion won in the KOSDAQ market, respectively.

The stock most purchased by foreign investors last week was SK Telecom. Foreign investors net bought SK Telecom by 77.5 billion won last week. Next, they net bought NCSoft by 68.6 billion won. In addition, they net bought Shinsegae (46.8 billion won), KT (43.7 billion won), Korea Zinc (41.8 billion won), Hotel Shilla (36.6 billion won), Samsung Fire & Marine Insurance (34.0 billion won), Samsung Biologics (32.4 billion won), Hugel (31.4 billion won), and Amorepacific (29.9 billion won).

The stock most sold by foreign investors last week was Samsung Electronics. Foreign investors net sold Samsung Electronics by 2.648 trillion won last week. Following that, they sold SK Hynix by 725.4 billion won. Other top foreign net sales included SK IE Technology (466.4 billion won), Samsung Electro-Mechanics (240.4 billion won), Kakao (197.3 billion won), HMM (193.3 billion won), Hyundai Motor (167.8 billion won), Samsung Electronics Preferred Shares (152.9 billion won), SK Innovation (115.6 billion won), and Kumho Petrochemical (98.2 billion won).

There is an opinion that it is necessary to pay attention to the direction of foreign investors' IT supply and demand for the time being. Labor Gil, a researcher at NH Investment & Securities, said, "Asian stock markets such as Korea and Taiwan are continuing to adjust due to doubts about the semiconductor industry's peak and concerns about global IT supply chain disruptions," adding, "Foreign investors are expanding net sales in Asian stock markets with a high IT proportion, and it will take some time to resolve doubts related to the domestic semiconductor industry, so it is necessary to pay attention to the direction of foreign investors' IT supply and demand."

It is expected that cyclical stocks will show a recovery trend. Researcher Noh said, "Domestic cyclical stocks have fallen due to foreign investors' programmatic net sales and a sharp rise in U.S. inflation indicators," adding, "The intensity of foreign programmatic net sales may weaken in the future, and since the Democratic Party has reaffirmed its position regarding the passage of the infrastructure investment bill, cyclical stocks may show a recovery trend."