Foreigners Sell 'Palja' for 10 Consecutive Weeks... KOSPI Net Selling Stopped on the 17th

[Asia Economy Reporter Song Hwajeong] Foreign investors have continued a 10-week streak of net selling in the domestic stock market. However, the scale of net selling by foreign investors, which had persisted at the trillion-won level for several weeks, has decreased, and on the 17th, they halted their 30 consecutive trading days of net selling on the KOSPI.

According to the Korea Exchange on the 19th, foreign investors net sold approximately 451.2 billion KRW in the domestic stock market during the week from the 13th to the 17th. They sold 570.2 billion KRW in the KOSPI market but bought 118.9 billion KRW in the KOSDAQ market.

The stock most purchased by foreign investors last week was Samsung Electronics. Foreign investors net bought Samsung Electronics worth 217.6 billion KRW last week, marking the second consecutive week it was the most purchased stock. This was followed by Samsung SDI with purchases worth 66.1 billion KRW. Other net purchases included LG Chem (59.7 billion KRW), Hanjin KAL (48.9 billion KRW), Samsung Electro-Mechanics (20.5 billion KRW), Samsung Electronics Preferred Shares (16.6 billion KRW), Pearl Abyss (13.7 billion KRW), Samsung Fire & Marine Insurance (12.7 billion KRW), KMH (10.5 billion KRW), and F&F (9.3 billion KRW).

The stock most sold by foreign investors last week was SK Hynix. Foreign investors net sold SK Hynix worth 140.3 billion KRW last week. This was followed by Samsung Biologics with sales of 92.9 billion KRW. Other top net sales included KB Financial Group (71.0 billion KRW), POSCO (56.6 billion KRW), SK Innovation (42.7 billion KRW), Kia Motors (39.3 billion KRW), KT&G (37.1 billion KRW), Korea Electric Power Corporation (34.6 billion KRW), Samsung Life Insurance (30.6 billion KRW), and LG Electronics (24.2 billion KRW).

Although volatility is expected, the index is forecasted to rise for the time being. Kim Yae-eun, a researcher at IBK Investment & Securities, said, "The KOSPI has recovered to the 1900 level due to improved investor sentiment. In particular, the market's upward momentum has expanded further as foreign investors switched to net buying," adding, "While volatility may persist due to the impact of the novel coronavirus disease (COVID-19), the index is expected to move with an upward trend for the time being."

Researcher Kim added, "Although concerns about the level remain, government lockdown measures to contain the spread of COVID-19 are being gradually eased, and the gradually contracted economy is expected to return to normal. Therefore, now is the time to expand interest in sectors that can benefit from the post-COVID-19 era alongside the index's rise driven by abundant liquidity."

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