LG Energy Solution down 8.70%... Defending 400,000 KRW level
EcoPro breaks below 700,000 KRW
On the 25th, the KOSPI and KOSDAQ closed lower due to selling pressure from foreigners and institutions. In particular, the battery sector experienced a sharp decline in both major indices. General Motors (GM) lowered its electric vehicle target forecast, leading to sell-offs in the domestic stock market, which ultimately dragged the indices down.
The KOSPI closed at 2363.17, down 0.85% (20.34 points) from the previous day. It opened at 2389.23, up 0.24% (5.72 points) from the previous day, but soon turned downward.
Foreigners and institutions sold a net 344.8 billion KRW and 63.1 billion KRW, respectively. Individual investors alone bought a net 361 billion KRW. In the futures market, individuals and institutions sold 95.5 billion KRW and 62.9 billion KRW, respectively, while only foreigners bought 143.8 billion KRW.
Among the top 10 stocks by market capitalization, only SK Hynix +0.55% and NAVER +1.12% closed higher. Battery stocks saw significant declines, including LG Energy Solution -8.70%, POSCO Holdings -6.01%, LG Chem -6.91%, and Samsung SDI -7.19%. Lee Kyung-min, a researcher at Daishin Securities, explained, "Following Tesla's earnings shock and GM's downward revision of electric vehicle production targets, negative factors have entered the secondary battery and electric vehicle industry outlook, leading to an overall decline in the secondary battery value chain in the domestic stock market, which drove the index down."
The KOSDAQ closed at 770.84, down 1.79% (14.02 points) from the previous day. Like the KOSPI, it opened at 788.01, up 0.40% (3.15 points), but turned downward within about 10 minutes. Foreigners and institutions pushed the index down, selling a net 123.6 billion KRW and 41 billion KRW, respectively. Individual investors alone bought a net 148.1 billion KRW.
Most of the top 10 stocks by market capitalization closed lower. Battery stocks such as EcoPro BM -8.78%, EcoPro -8.24%, POSCO DX -6.29%, and L&F -7.39% showed notable declines. On the other hand, only HPSP +6.10%, Pearl Abyss +0.41%, and JYP Entertainment +0.38% closed higher.
Seo Sang-young, head of the Media Content Division at Mirae Asset Securities, also analyzed, "The domestic stock market fell due to foreign selling centered on secondary batteries. Despite LG Energy Solution's strong performance, concerns over a slowdown in electric vehicle demand due to GM's downward revision of electric vehicle production targets had a greater impact."
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