Samsung Electronics Down 3.5%... KOSPI and KOSDAQ Close Down Over 1%

Samsung Electronics Drops 3.5%, SK Hynix Falls 2.6% at Close
"Foreigners Increase Selling Mainly in Major Tech Stocks"

Samsung Electronics fell more than 2%, breaking the 70,000 won level during the session. As of 9:30 a.m. on the 12th, Samsung Electronics was trading at 69,700 won on the KOSPI market, down 2.52% from the previous trading day. In the early session, Samsung Electronics dropped to 69,300 won, marking the lowest price of the year. Photo by Kim Hyun-min kimhyun81@

[Asia Economy Reporter Minji Lee] The KOSPI and KOSDAQ indices closed sharply lower despite net buying by individual investors. The surge in energy prices has heightened concerns about inflation, and the won-dollar exchange rate surpassing 1200 during the trading session added pressure on the indices.

On the 12th, the KOSPI closed at 2916.38, down 1.35% (39.92 points) from the previous trading day. The index opened at 2950.22, down 0.21% (6.07 points) from the previous day, and continued its downward trend into the afternoon. Looking at investment trends, individual investors alone bought stocks worth 979.4 billion KRW, while foreigners and institutions sold stocks worth 921.2 billion KRW and 199.8 billion KRW, respectively.

During the session, the market's decline accelerated as the won-dollar exchange rate touched 1200. The rise in the exchange rate is attributed to global inflation concerns driven by soaring commodity and energy prices amid power shortages. Lee Kyung-min, a researcher at Daishin Securities, said, "The market was significantly weakened by expanded inflation concerns due to the continued rise in energy prices and prolonged supply chain bottlenecks. Foreign investors sold off major tech stocks such as Samsung Electronics, SK Hynix, NAVER, and Kakao."

By sector, textile and apparel (1.56%), chemicals (1.39%), and steel and metals (0.99%) showed gains. Textile and apparel stocks like F&F Holdings (4.6%) and F&F (3.1%) rose amid expectations of strong earnings despite the overall market decline. Among the top market capitalization stocks, all except LG Chem (4.19%) and Samsung Biologics (0.48%) declined. Samsung Electronics (-3.50%), SK Hynix (-2.66%), NAVER (-4.25%), Kakao (-3.40%), and Samsung SDI (-3.35%) experienced significant drops.

At the same time, the KOSDAQ index closed at 940.15, down 1.36% (12.96 points) from the previous day. The index opened at 951.12, down 0.21% (1.99 points) from the previous day. Investment trends show individual investors bought stocks worth 176 billion KRW alone, while foreigners and institutions sold stocks worth 163 billion KRW and 14.9 billion KRW, respectively.

Among the top market capitalization stocks, L&F (2.90%), Pearl Abyss (2.05%), and Kakao Games (0.15%) rose, while Celltrion Healthcare (-2.25%), EcoPro BM (-0.31%), HL Biopharma (-6.92%), and Celltrion Pharm (-1.92%) declined.