KOSPI Gives Up Gains as Korea-US '2+2 Talks' Postponed... KOSDAQ Also Reverses

On July 24, the domestic stock market closed mixed. The KOSPI, which hit a new yearly high during the session on expectations of progress in global trade agreements, gave up its gains after the scheduled Korea-US '2+2 Trade Talks' were canceled.

On this day, the KOSPI closed at 3,190.45, up 6.68 points (0.21%) from the previous session. The index surged to 3,237.97 during the session, setting a new yearly high, following the announcement of a US-Japan trade agreement and the release of SK hynix's record quarterly earnings. However, momentum weakened after news broke that the Korea-US trade talks, which were scheduled to be held in the US on July 25, were canceled due to US Treasury Secretary Scott Besant's urgent schedule.

Yonhap News Agency

While individual investors sold a net 950.8 billion won, foreign investors and institutions supported the index by buying a net 741.2 billion won and 128.8 billion won, respectively.

The top market cap stocks, which had all shown gains early in the session, also ended mixed. LG Energy Solution (up 9.36%), Hanwha Aerospace (up 3.41%), Doosan Enerbility (up 3.15%), Samsung Biologics (up 2.26%), Shinhan Financial Group (up 1.76%), and HD Hyundai Heavy Industries (up 1.69%) rose, while Hyundai Motor (down 2.03%), NAVER (down 1.94%), and Kia (down 1.04%) declined.

On the same day, the KOSDAQ ended at 809.89, down 3.67 points (0.45%). The index had started strong, opening at 816.94, up 3.38 points (0.42%), but eventually turned downward. Individual investors and institutions sold a net 20 billion won and 16.5 billion won, respectively, while foreign investors bought 34.3 billion won.

Among the top KOSDAQ market cap stocks, more closed lower than higher. Peptone (down 4.05%), Hugel (down 3.84%), Lino Technology (down 1.60%), and Kolon TissueGene (down 1.07%) ended weaker, while ABL Bio (up 17.82%), Samchundang Pharm (up 5.62%), and Ecopro BM (up 2.47%) gained.

By industry, electrical products showed the most notable rise, jumping 6.91%, followed by telecommunications equipment (up 3.71%), energy equipment and services (up 3.38%), electrical equipment (up 2.47%), and shipbuilding (up 2.40%). In contrast, paper and wood (down 5.12%), IT services (down 3.14%), leisure equipment and products (down 2.84%), and publishing (down 2.60%) declined.

Kim Jiwon, a researcher at KB Securities, explained, "Expectations for tariff negotiations quickly turned into anxiety, which influenced the market trend. As there is a lack of additional upward momentum, we expect a wait-and-see approach to dominate for the time being. Whether tariff negotiations resume quickly will be the key factor."