Foreign Investors Return Amid US Stock Market Rally... KOSPI Starts Up, Returns to 2640 Level

[Image source=Yonhap News]

[Asia Economy Reporter Myunghwan Lee] On the 18th, the KOSPI opened with a nearly 1% rise, moving around the 2640 level. This appears to be influenced by the sharp rise in the U.S. stock market on the 17th (local time) due to eased concerns about an economic recession. Foreign investors are showing net buying in the securities market for the first time in a while. The KOSDAQ is also showing a rise of over 1%.

As of 9:15 a.m. on the day, the KOSPI is at 2643.08, up 0.86% (22.64 points) from the previous trading day. The KOSPI opened at 2634.75, up 0.55% (14.31 points) from the previous day, and is gaining momentum. By investor type, individuals and institutions are selling 13.4 billion KRW and 35.9 billion KRW respectively, while foreigners alone are buying 43.4 billion KRW.

All of the top 10 stocks by market capitalization are on the rise. Samsung Electronics is trading at 68,700 KRW, up 1.63% (1,100 KRW) from the previous day, approaching the 69,000 KRW level. SK Hynix is up 2.22% (2,500 KRW) at 411,000 KRW. Others also rising include ▲LG Energy Solution (0.61%) ▲Samsung Biologics (0.91%) ▲Samsung Electronics Preferred (2.50%) ▲Naver (NAVER) (1.45%) ▲Samsung SDI (2.20%) ▲Hyundai Motor (0.81%) ▲Kakao (0.60%) ▲LG Chem (3.17%).

By KOSPI sector, textiles and apparel (2.06%), electrical and electronics (1.57%), and chemicals (1.12%) are on the rise, while construction (-0.44%) and medical precision (-0.30%) are slightly down.

At the same time, the KOSDAQ is at 875.85, up 1.14% (9.87 points) from the previous trading day. The KOSDAQ started at 872.19, up 0.72% (6.21 points) from the previous day, and is gaining momentum. By investor type, foreigners and institutions are net sellers of 22 billion KRW and 5 billion KRW respectively, while individuals alone are buying 28.4 billion KRW.

Among the top 10 KOSDAQ stocks by market capitalization, 9 are rising. L&F is trading at 249,700 KRW, up 4.74% (11,300 KRW) from the previous day. Others on the rise include ▲EcoPro BM (3.71%) ▲Celltrion Healthcare (0.36%) ▲HLB (2.30%) ▲Kakao Games (0.89%) ▲Pearl Abyss (0.51%). Celltrion Pharm is the only stock falling, down 0.64%.

By sector, paper and wood (3.44%), other manufacturing (3.44%), and computer services (2.49%) are rising.

The securities industry forecasted that the domestic stock market would start higher on the 18th and then show a stock-specific market. Sangyoung Seo, head of the Media Content Division at Mirae Asset Securities, said, "The U.S. stock market showed strength due to the inflow of positive news from some companies and the easing of recession concerns following improvements in U.S. real economy indicators, which is favorable," adding, "After starting with about a 1% rise, a stock market focusing on stocks with positive news inflows will unfold."