Stock Market Starts Slightly Weak... Foreigners' Rebound Buying Turns KOSPI to Slight Gain

[Image source=Yonhap News]

[Asia Economy Reporter Ji Yeon-jin] The domestic stock market started slightly lower on the 25th. However, the KOSPI index managed to rebound shortly after the opening.

On this day, the KOSPI index began trading at 2,385.65, down 7.49 points (0.31%) from the previous session, but rebounded within about three minutes after the opening. As of 9:05 a.m., the KOSPI was trading at 2,394.53, up 1.39 points (0.06%).

In the KOSPI market, foreigners led a firm tone by net buying 35.1 billion KRW, while individuals and institutions were net sellers of 33.1 billion KRW and 1 billion KRW, respectively.

The KOSDAQ index was down 1.50 points (0.19%) at 788.25. It started the day at 787.71, down 0.26%, but the early losses have been narrowing. Individuals were net buyers of 23 billion KRW, while foreigners and institutions were net sellers of 17.1 billion KRW and 3.3 billion KRW, respectively.

The market is expected to remain cautious ahead of the U.S. Federal Open Market Committee (FOMC) interest rate decision scheduled for the 27th (local time). Seo Sang-young, a researcher at Mirae Asset Securities, said, "While the FOMC is expected to raise rates by 75 basis points, it is likely to limit mentions of aggressive rate hikes contrary to market concerns, which should act as a neutral or better factor for the stock market. The Korean stock market is expected to start lower, but rebound buying sentiment is also expected to continue."