[Market Focus] Local Currency Stocks Rally on Hopes for Supplementary Budget Passage

Expectations for the passage of the supplementary budget bill (extra budget) within this week are growing, leading to strong performances among local currency-related stocks such as Cocone.

As of 2:12 p.m. on July 1, Cocone was trading at 29,550 won, up 2,100 won (7.65%) from the previous trading day.

At the same time, other local currency-related stocks such as Uracle (up 5.89%), Webcash (up 4.22%), and Kona I (up 2.46%) were also on the rise.

The Lee Jaemyung administration plans to provide livelihood support funds in the form of local currency (local love gift certificates) through the passage of the extra budget, which has drawn significant investor attention to local currency-related stocks.

On this day, the National Assembly's Public Administration and Security Committee held a subcommittee for budget and fund review and passed, by bipartisan agreement, the supplementary budget bill for the 13.2 trillion won 'Livelihood Recovery Consumption Coupon' program. The 600 billion won supplementary budget for local currency, considered one of President Lee Jaemyung's signature policies, passed as originally proposed. The committee plans to process the related supplementary budget bill at a full meeting later in the afternoon, after which the National Assembly Special Committee on Budget and Accounts will conduct the final review and approval.

The Democratic Party of Korea is reportedly planning to pass the supplementary budget and other bills at the plenary session on July 3. The plan is to complete the passage of the supplementary budget and the Commercial Act amendment, after consultation with opposition parties, no later than July 4, when the June extraordinary session of the National Assembly ends.