[Good Morning Market] New York Closes Mixed... KOSPI Expected to Maintain Upward Trend

The New York stock market closed mixed. As investors took profits in semiconductor stocks, there was a rotation into cyclical stocks. On January 9, the KOSPI is expected to show an upward trend, led by earnings-driven stocks such as semiconductors and defense companies.

AP Yonhap News

On January 8 (local time) in the New York stock market, the blue-chip Dow Jones Industrial Average closed at 49,266.11, up 270.03 points (0.55%) from the previous trading day. The large-cap S&P 500 Index rose 0.53 points (0.01%) to 6,921.46, while the tech-heavy Nasdaq Index fell 104.259 points (0.44%) to close at 23,480.016.

The Philadelphia Semiconductor Index declined by 1.83%. Nvidia dropped 2.17%, and Broadcom, ASML, Micron Technology, AMD, Applied Materials, Intel, and KLA also fell. In contrast, auto stocks such as Ford, GM, and Stellantis all posted strong gains. Defense companies like Northrop Grumman and Lockheed Martin also rose.

Lim Jeongeun, a researcher at KB Securities, said, "There was a mixed trend as profit-taking was seen, mainly in semiconductors," adding, "A rotation into small and mid-cap stocks took place, with the Russell 2000 Index hitting an all-time high."

The KOSPI is expected to show an upward trend today. On the previous day, the KOSPI closed at 4,552.37, up 0.03% from the previous session. Although it showed strength in early trading and briefly reclaimed the 4,600 level, most of the gains were given up due to profit-taking.

Lee Sunghoon, a researcher at Kiwoom Securities, said, "Despite corrections in tech and semiconductor stocks in the US market, we expect the domestic market to maintain its upward trajectory as buying interest continues to flow into earnings-driven stocks such as semiconductors and defense companies, with prices already reflecting much of the news."

However, differentiation by sector is expected. He explained, "On the previous day, buying interest flowed into sectors with solid earnings momentum such as shipbuilding, defense, and healthcare, leading to strong performances in those sectors. Today as well, as the concentration on semiconductors partially eases, we expect funds to be distributed into sectors with upwardly revised operating profit forecasts."