[Good Morning Stock Market] KOSPI Attracts Low-Price Buyers... US Tariff Concerns Persist

On the 15th, the KOSPI is expected to see inflows of bargain hunting, but the rise will be limited due to ongoing concerns over US tariffs.

On the previous day at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 40,524.79, up 312.08 points (0.78%) from the previous session. The S&P 500 rose 42.61 points (0.79%) to 5,405.97, and the Nasdaq Composite ended the day at 16,831.48, up 107.03 points (0.64%).

That day, the New York stock market initially surged over 1% following news of President Donald Trump's semiconductor tariff exemption, but gains were capped after he made remarks about pharmaceutical tariffs. Comments from Federal Reserve (Fed) officials also influenced the market.

Recently, major global stock markets have been rebounding since the crash on the 7th and 8th, working to restore stock prices. It is analyzed that the shift from the most negative scenario of "universal tariffs on all countries + reciprocal tariffs" to "tariffs on China + negotiation mode with other countries" has acted as a relief factor for the stock market.

Additionally, the possibility of negotiation or postponement of targeted tariffs on specific products such as semiconductors and automobiles, as well as the stance of both the US Treasury and the Fed to intervene if market turmoil intensifies, is interpreted as a factor that no longer needs to be viewed negatively. Therefore, it is suggested that in the event of future stock price adjustments due to tariffs, the approach should be partial buying or holding rather than joining in selling.

On the previous day, the domestic stock market closed higher, supported by the rebound in the New York stock market last Friday, expectations of avoiding high tariffs on IT products, and valuation attractiveness, despite concerns over Trump's individual semiconductor tariffs.

Han Ji-young, a researcher at Kiwoom Securities, said, "The domestic stock market is expected to show a limited recovery momentum due to volatility effects centered on the Magnificent 7 (M7) and tariff noise from Trump, although there will be persistent incentives for bargain hunting." She added, "From an industry perspective, Trump's indication during talks with the President of El Salvador of a short-term willingness to postpone tariffs on automobile parts is expected to be a short-term momentum for domestic automobile stocks."

She also noted, "In this rebound, foreigners have recorded a net sale of 650 billion KRW on the KOSPI, mainly in semiconductors (-472 billion KRW), but it is important to note that trading companies, capital goods (86.4 billion KRW), and shipbuilding (76.5 billion KRW) ranked first and second in cumulative net buying by sector. In a situation where Trump risk has not completely disappeared, it is appropriate to maintain at least a market-neutral or higher weighting in leading stocks such as shipbuilding and defense."