KOSPI Mixed Start... 2600 Also Precarious

On the 17th, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. On that day, the KOSPI index opened at 2603.58, up 7.00 points (0.27%) from the previous trading day. The won-dollar exchange rate started at 1280 won, down 4.1 won. Photo by Moon Honam munonam@

[Asia Economy Reporter Junho Hwang] On the 25th, the stock market started on an upward trend. Although it closed lower the previous day due to concerns about an economic recession, the rise is analyzed as a result of increased expectations from China's economic stimulus measures. However, the gains are gradually narrowing due to the previous day's decline in the U.S. stock market and uncertainties surrounding the Bank of Korea's Monetary Policy Committee's base rate decision scheduled for the 26th.

On this day, the KOSPI opened at 2,621.75, up 15.88 points (0.61%) from the previous close. However, as of 9:17 AM, the KOSPI recorded 2,602.94, down 0.11% from the previous close, making the 2,600 level precarious. This is due to increased net selling by foreign investors despite net buying by individuals and institutions. At this time, individuals are net buying 52 billion KRW, institutions 48.7 billion KRW, while foreigners are net selling 100.9 billion KRW.

Among all stocks, only 336 stocks rose. The top market capitalization stocks showed a brief rise early in the session but mostly turned downward. Samsung Electronics is down 0.45% from the previous close, trading at 66,200 KRW. LG Energy Solution fell by 2.39%, while Samsung Biologics is showing a 1.11% rise.

Among all sectors, the paper and wood industry (3.27%) is strong from the early session. Pharmaceuticals (1.36%), finance (0.68%), and steel and metals (0.65%) are also on the rise. In the paper and wood sector, stocks such as Moorim Paper (20.53%), Paper Korea (8.27%), and Hanchang Paper (7.62%) surged following news that pulp prices have soared to an all-time high.

The KOSDAQ also opened at 869.19, up 4.12 points (0.48%) from the previous close. However, as of this time, it is down 0.33% at 862.19. Individuals are supporting the index with net buying of 61.5 billion KRW. Among the top market capitalization stocks, Celltrion Healthcare (2.95%) and Pearl Abyss (2.00%) are showing strength.

As of this time, the USD/KRW exchange rate is 1,263.50 KRW, down 0.22% from the previous day.

Researcher Kyungmin Lee of Daishin Securities analyzed, "Despite U.S. President Joe Biden's remarks on reviewing the easing/removal of tariffs on China, the Nasdaq 100 futures are falling, and global investment banks have lowered China's growth forecast for this year, showing a weak trend."