KOSPI Hits 3,280 Mark for the First Time in Four Years
US Tariff Reduction and Investment Agreement Boost Market Sentiment
Relief is spreading through the stock market as the Korean government has dramatically concluded negotiations by lowering tariffs imposed by the United States from 25% to 15%.
On July 31, the KOSPI opened at 3,275.78, up 0.65% from the previous day. In early trading, it climbed into the 3,288 range, marking a new yearly high. This is the first time since early August 2021 that the KOSPI has reached the 3,280 level during trading hours.
Meanwhile, it appears that the announcement by U.S. President Donald Trump on July 30 (local time) that a 15% reciprocal tariff will be imposed on Korea acted as a positive factor. The rate is significantly lower than the previous 25%, leading to an assessment that the worst-case scenario has been avoided. Korea has agreed to invest a total of $350 billion in the United States, including automobiles, trucks, and agricultural products. President Lee Jaemyung is scheduled to hold a summit meeting with President Trump at the White House within two weeks.
By investor type, foreigners and institutions recorded net sales of KRW 18.1 billion and KRW 322.8 billion, respectively. Individuals recorded net purchases of KRW 362.6 billion.
Almost all sectors are on the rise. Non-metallic minerals (1.20%), transportation equipment and parts (1.09%), electrical and electronics (0.87%), and construction (0.76%) saw relatively large increases. Distribution (-1.91%) and electricity and gas (-0.84%) declined.
Among the top 10 stocks by market capitalization, performances were mixed. HD Hyundai Heavy Industries (3.7%), SK Hynix (1.9%), LG Energy Solution (1.4%), Hanwha Aerospace (0.9%), and Samsung Electronics (0.2%) rose. In contrast, Kia (-2.9%), Hyundai Motor (-2.0%), KB Financial Group (-1.1%), Samsung Biologics (-0.7%), and Celltrion (-0.1%) fell.
The KOSDAQ also opened at 806.21, up 0.32% from the previous day. As of 9:22 a.m., it stood at 806.02.
In the KOSDAQ market as well, individuals alone recorded net purchases of KRW 81.2 billion. Foreigners and institutions recorded net sales of KRW 40.8 billion and KRW 19.9 billion, respectively.
Most sectors are on the rise. Textiles and apparel (2.82%), entertainment and culture (2.06%), other manufacturing (1.44%), and distribution (1.00%) were among the sectors that rose more than 1%. Paper and wood (-1.58%) and machinery and equipment (-0.30%) declined.
The top 10 stocks by market capitalization were generally flat. Ecopro BM (0.7%), PharmaResearch (0.7%), Peptron (0.6%), Alteogen (0.4%), Hugel (0.4%), and Ecopro (0.3%) rose, while Rainbow Robotics (-1.4%), Samchundang Pharm (-1.1%), Rigakem Bio (-0.5%), and HLB (-0.5%) fell.
On the 31st, as the KOSPI index renewed its all-time high and started the session in the 3,270 range following the news of a 'tariff agreement,' the KOSPI index was displayed on the index status board in the Hana Bank dealing room in Jung-gu, Seoul. 2025.07.31 Photo by Yoon Dongju
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