KOSPI Plummets 4.9%... Falls Below 1600 Level

[Image source=Yonhap News]

[Asia Economy Reporter Park Jihwan] The KOSPI index plunged nearly 5% near the end of trading, breaking below the 1600 level. The simultaneous selling by foreigners and institutions fueled the downward trend.

According to the Korea Exchange on the 18th, the KOSPI closed at 1591.20, down 4.86% (81.24 points) from the previous day.

On that day, the KOSPI opened on a positive note, rising 13.68 points (0.82%) from the previous trading day to 1686.12. The domestic market rebounded as global stock markets, including the U.S., showed gains following announcements of large-scale fiscal policies by various countries. On the 17th (local time), the U.S. Dow Jones Industrial Average closed at 21,237.38, up 1,048.86 points (5.2%) from the previous day. The Standard & Poor's (S&P) 500 index also rose 143.06 points (6.00%) to 2,529.19.

However, the KOSPI, which had risen during the day, turned downward and the decline accelerated in the afternoon.

Looking at the trading trends by market participants on the KOSPI that day, individuals were net buyers with 911.5 billion KRW. In contrast, foreigners and institutions were net sellers with 589.5 billion KRW and 432.8 billion KRW, respectively.

By sector, most showed declines. Chemicals (-3.39%), pharmaceuticals (-4.86%), machinery (-6.65%), distribution (-5.39%), and telecommunications (-4.85%) all fell.

Among the top 10 companies by market capitalization, all except LG Household & Health Care (3.85%) declined. Samsung Electronics (-3.59%), SK Hynix (-9.08%), Samsung Biologics (-4.07%), Naver (-3.31%), Celltrion (-6.55%), LG Chem (-8.65%), Samsung C&T (-5.78%), Hyundai Motor (-8.24%), and Samsung SDI (-9.96%) showed significant drops.

The KOSDAQ also closed at 485.14, down 5.75% (29.59 points) from the previous day. On the KOSDAQ, individuals were net buyers with 120.1 billion KRW, while foreigners and institutions were net sellers with 122.9 billion KRW and 7 billion KRW, respectively.

By sector, many sectors declined, including construction (-4.05%), distribution (-5.77%), finance (-4.06%), and manufacturing (-5.78%).

Among the top market capitalization stocks, only Studio Dragon (0.96%) showed a slight increase; all others declined. Celltrion Healthcare (-5.92%), HL Biopharma (-7.29%), Pearl Abyss (-3.68%), and CJ ENM (-3.30%) all fell.

This content was produced with the assistance of AI translation services.