[Asia Economy Reporter Ji Yeon-jin] The domestic stock market on the 27th is engaged in a fierce battle as the 'King Dollar' calming trend and recession concerns intertwine. The two major indices, which plunged sharply the previous day, started with a rebound but have been fluctuating throughout the session.
The KOSPI index was trading at 2,223.59 at 10 a.m., up 2.65 points (0.12%) from the previous day. The index opened higher due to a rebound mainly in large tech stocks that had experienced significant declines, despite the U.S. stock market closing lower.
However, as foreign selling pressure accumulated, the index briefly fell below the 2,220 level during the session but is slightly rebounding due to institutional buying. At this time, foreigners are net selling about 112.5 billion KRW, and individuals are also selling about 10.6 billion KRW. In contrast, institutions are recording net purchases worth 115.1 billion KRW.
The KOSPI had fallen to around the 2,230 level, with a price-to-book ratio (PBR) of 0.89, as individual investors continued selling amid growing global recession concerns the previous day. Therefore, the prevailing view was that the index would rebound today due to low-price buying. Han Ji-young, a researcher at Kiwoom Securities, interpreted, "The domestic stock market, which plunged due to a sell-off caused by the previous day's exchange rate shock, is attempting a rebound today as low-price buying flows in."
The won-dollar exchange rate dropped to 1,427 KRW early in the session but narrowed its decline and has been fluctuating around 1,430 KRW per dollar.
Samsung Electronics, which had fallen to 53,000 KRW the previous day, is showing a firm tone and recovering to 54,000 KRW, while LG Energy Solution is also up 0.34%. Hyundai Motor, Kia, and Kakao are also on an upward trend. On the other hand, Samsung SDI is down more than 1%, and SK Hynix and Samsung Biologics are showing a slightly weak tone. LG Chem succeeded in rebounding with a 0.5% rise.
The KOSDAQ index is up 7.71 points (1.11%) from the previous day, standing at 700.13. Foreigners are leading the index with net purchases worth 54.3 billion KRW, and institutions are also supporting it by buying about 20.8 billion KRW. However, individuals are net selling about 75.6 billion KRW. More than 1,000 stocks on the KOSDAQ are rising today, indicating a dominant rebound atmosphere.
Kakao Games is rising nearly 5%, and Celltrion Healthcare, EcoPro BM, HLB, Celltrion Pharm, and JYP Ent. are showing a firm tone. However, Pearl Abyss (-1.73%) and EcoPro (-0.79%) are declining.
Genitics surged to the upper price limit following news of its acquisition by AB Pro Bio, and Vietnam Development 1 also reached the price limit. Daewoo Shipbuilding & Marine Engineering is down about 14% today after news emerged that Hanwha Group will acquire it.
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