Process of Absorbing Listings Amid Foreign Labor Supply Burden
[Asia Economy Reporter Kwangho Lee] On the 20th, the domestic stock market showed a flat movement in the early session. Currently, there is no clear direction.
As of 9:19 a.m., the KOSPI index stood at 2431.64, down 20.10 points (0.82%) from the previous trading day. The KOSPI index started with a slight rise but soon turned downward. Individuals net bought 152.2 billion KRW, while foreigners and institutions net sold 85.2 billion KRW and 71.8 billion KRW, respectively.
By sector, Steel & Metals alone rose over 2%. Food & Beverages, Textiles & Apparel, Distribution, Construction, Telecommunications, and Finance remained in a slightly positive range. Paper & Wood and Electronics declined by about 1%. Other sectors such as Services, Manufacturing, Chemicals, Pharmaceuticals, Machinery, Medical Precision, Transportation Equipment, and Electric & Gas showed slight weakness.
Most of the top market capitalization stocks were on the rise. POSCO Holdings alone showed a rise of over 3%. Samsung SDI and LG Energy Solution declined by about 2% and 1%, respectively. Samsung Electronics, SK Hynix, Samsung Biologics, Hyundai Motor, NAVER, Kakao, Celltrion, and Samsung C&T remained slightly weak within the 0-1% range.
However, the KOSDAQ index recorded 774.87, down 0.65 points (0.10%) from the previous trading day. The KOSDAQ index also started with a rise but turned downward at 9:16 a.m. Individuals net bought 64.6 billion KRW, while foreigners and institutions net sold 36.8 billion KRW and 22.5 billion KRW, respectively.
By sector, Finance showed a strong rise of over 2%. In addition, Entertainment & Culture, IT Hardware, Construction, and Distribution remained slightly weak within the 0-1% range. Transportation, Manufacturing, Telecommunications & Broadcasting Services, IT Software & Services, and Other Services showed slightly positive movements within the 0-1% range.
Among the top market capitalization stocks, there was a mixed performance. HLB showed a strong rise of over 15%. EcoPro and L&F rose by about 4% and 2%, respectively. EcoPro BM, the largest KOSDAQ market cap stock, remained slightly positive. SM, which had recently surged, declined by about 4%.
The securities industry analyzed that the domestic market would undergo a process of absorbing sell orders amid foreign investors' supply and demand burdens during the session.
Sangyoung Seo, a researcher at Mirae Asset Securities, said, "The fact that the U.S. stock market reduced its losses or turned upward thanks to the decline in long-term interest rates in the latter half of last weekend is expected to have a positive impact on our stock market. However, the Philadelphia Semiconductor Index fell 1.62%, and the U.S. leading economic index is slowing down, which continues to raise concerns about a recession and acts as a factor dampening investor sentiment."
In the Seoul foreign exchange market today, the won-dollar exchange rate started at 1,298 KRW, down 1.5 KRW.
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