[Yoon Seok-yeol Impeachment] "When Progressive Parties Take Power, Renewable Energy, ESG, Hydrogen Energy, and Entertainment Are Promising"

Daishin Securities analyzed on the 4th that the Constitutional Court's unanimous acceptance of President Yoon Seok-yeol's impeachment has significantly resolved domestic political uncertainty.

Lee Kyung-min, a researcher at Daishin Securities, explained, "A sense of relief has entered the stock and foreign exchange markets, making a rapid normalization possible," and added, "The issues that arose during the impeachment process will shift to the presidential election phase."

He continued, "The won-dollar exchange rate, which had a resistance level in the 1400 won range before the martial law situation, leveled up to the mid-1400 won range through the martial law and impeachment phases," adding, "When political uncertainty reached an extreme, it even reached the 1480 won range." He said, "With the resolution of uncertainty and the development of won strength, foreign demand and supply improvements can be expected," and predicted, "The KOSPI will strengthen its rebound momentum and lead to relative strength compared to global stock markets."

The researcher analyzed, "The KOSPI, which was lowered by the US tariff shock, will rebound based on support at the 2430 level," and said, "The first rebound target is the 2750 level."

He also said, "Consumer sentiment, which cooled after the martial law situation, is also showing signs of rebound," and added, "Along with the resolution of political uncertainty, monetary and fiscal policy drives will be strengthened." Furthermore, he explained, "With the early presidential election phase transition, expectations for policies based on the election pledges of major parties and leading candidates will increase."

The researcher said, "There is a possibility that expectations will flow into policy-related stocks of presidential candidates following the confirmation of the early presidential election," and added, "Expectations for a new administration and presidential candidates' policies may flow into the stock market." He explained, "If a progressive party comes to power, there is a possibility of allocating more budget to R&D and infrastructure," and said, "Beneficiary sectors are expected to be renewable energy, ESG, hydrogen energy, and cultural content industries such as media/entertainment."

Additionally, he emphasized, "If a conservative party comes to power, industrial support through fiscal spending will be limited compared to progressive parties," and added, "The regulatory relaxation trend will create a business environment favorable to small and medium-sized industries and growth industries." He said, "Beneficiary sectors are expected to include nuclear energy, space industry, finance, AI, autonomous driving mobility, and UAM."