KOSPI Closes Above 3300... A Day of Profit-Taking for Retail Investors

KOSPI Surpasses 3300 for the First Time Ever
Foreigners and Institutions Favor Risk Assets
Individuals Realize Profits

The KOSPI surpassed the 3,300 mark for the first time in history. On the 25th, the KOSPI index opened at 3,289.18, up 3.08 points (0.09%), and extended its gains to break the intraday record of 3,292.27 set the previous day. The photo shows the Hana Bank dealing room in Jung-gu, Seoul, on that day. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Junho Hwang] On the 25th, the KOSPI closed at 3,301.45, surpassing the 3,300 mark for the first time in history. While individual investors continued to sell for profit-taking, buying by institutions and foreigners drove the index higher.

Individual investors, who had been supporting the KOSPI, sold a net 747.5 billion KRW for profit realization. On the other hand, foreigners and institutions, encouraged by the previous day's agreement on the US infrastructure investment plan and the resulting risk-on sentiment, bought net amounts of 165.2 billion KRW and 601.1 billion KRW respectively, pushing the index up to 3,316.08 during the session.

Among all listed stocks, 567 rose, 263 fell, and 82 closed unchanged.

Samsung Electronics, the undisputed market leader, closed up 0.49% at 81,600 KRW. Despite continued selling pressure from institutions and foreigners, institutions concentrated their buying, maintaining the upward trend.

SK Hynix also closed up 1.98% at 128,500 KRW, buoyed by the approval from Brazilian regulatory authorities regarding Intel's acquisition of its NAND flash business. SK Hynix's acquisition process is now awaiting approvals from China, the UK, and Singapore.

Naver and Kakao, which had recently shown significant gains, fell due to profit-taking. Naver dropped 2.26% to 410,000 KRW, while Kakao declined 1.59% to 154,500 KRW.

By sector, the transportation and warehousing industry surged 2.65%, with shipping stocks standing out. Pan Ocean rose 10.27% to 8,270 KRW, marking its fourth consecutive day of gains. HMM increased by 3.49%, and Hyundai Glovis rose 2.65%.

Hyundai Engineering & Construction, which showed strength in the morning session following the US infrastructure investment agreement, closed up 2.77% at 55,700 KRW. Posco Coated & Color Steel (1.81%) and Doosan Bobcat (2.35%) also ended higher.

The KOSDAQ closed down 0.02% at 1,012.44. While individuals and foreigners bought net amounts of 70.3 billion KRW and 21.2 billion KRW respectively, institutions sold a net 73.5 billion KRW, resulting in a decline.

By sector, semiconductors (1.27%), computer services (1.10%), transportation (1.10%), and other manufacturing (1.05%) recorded gains.

Among the top market cap stocks, Celltrion Healthcare fell 6.13% to 114,800 KRW. Celltrion Pharm dropped 9.19% to 155,100 KRW.

Lee Kyung-min, a strategic research analyst at Daishin Securities, said, "Except for the service sector, which has recently shown continuous strength, most sectors are rising. The stock market's upward trend continues, but the ADR (20-day average) indicator is declining, indicating that the market is not overheated and that the market's upward momentum is strengthening."