Despite US Stock Market Closing Higher, KOSPI Falls Below 2400 Due to Foreign and Institutional Selling Pressure

[Image source=Yonhap News]

[Asia Economy Reporter Kwon Jaehee] Despite the rise in the three major U.S. stock indices, the KOSPI index is struggling to gain momentum. Due to simultaneous selling by foreigners and institutions, the KOSPI index eventually fell below the 2400 level again.

As of 10:28 AM, the KOSPI index is at 2386.57, down 0.93% (22.36 points) compared to the previous trading day. The KOSPI index opened at 2417.11, up 0.34% (8.18 points) from the previous trading day, but after fluctuating during the morning session, it ultimately dropped below the 2400 mark again.

By investor type, only individuals are net buyers with 346.9 billion KRW worth of purchases. In contrast, foreigners and institutions are selling stocks worth 154 billion KRW and 201.2 billion KRW, respectively.

By sector, pharmaceuticals (1.12%), electric and gas utilities (0.31%), food and beverage (0.21%), and medical precision instruments (0.03%) are rising, while all other sectors are declining. The sectors recording losses include textiles and apparel (-3.16%), chemicals (-2.29%), steel and metals (-2.06%), construction (-2.05%), finance (-1.72%), services (-1.67%), non-metallic minerals (-1.30%), securities (-1.18%), machinery (-1.15%), and telecommunications (-0.99%).

The top 10 stocks by market capitalization are also mixed. Samsung Electronics (0.34%), Samsung Electronics Preferred (0.75%), and Hyundai Motor (0.29%) are rising, but LG Energy Solution (-0.48%), SK Hynix (-2.42%), LG Chem (-1.76%), Samsung SDI (-3.50%), NAVER (-3.55%), and Kia (-0.26%) are declining.

At the same time, the KOSDAQ index is trading at 769.75, down 1.10% (8.55 points) from the previous trading day. The KOSDAQ index opened at 783.21, up 0.63% (4.91 points) from the previous trading day.

By investor type, individuals are again net buyers with 115.9 billion KRW worth of purchases, while foreigners and institutions continue to sell. Foreigners sold 92.2 billion KRW, and institutions sold 27.9 billion KRW worth of stocks.

By sector, food and tobacco (4.24%) are showing strength. In contrast, semiconductors (-3.61%), entertainment and culture (-3.50%), digital content (-3.25%), non-metallic minerals (-3.02%), IT software (-2.75%), IT hardware (-2.53%), software (-2.44%), and broadcasting services (-2.39%) are declining.

Among the top 10 stocks by market capitalization, EcoPro BM (1.03%), Celltrion Healthcare (2.12%), L&F (1.06%), Celltrion Pharm (2.02%), and Alteogen (0.49%) are rising, while Kakao Games (-6.63%), HLB (-1.20%), Pearl Abyss (-2.21%), Chunbo (-1.74%), and Wemade (-2.43%) are falling.

Han Ji-young, a researcher at Kiwoom Securities, analyzed, "The domestic stock market started higher, buoyed by the rebound effects in major markets such as the U.S. and Europe, but since pessimism has not completely disappeared yet, there remains room for further declines."