KOSPI Slightly Rises to 2270 Level Early on Institutional Buying... KOSDAQ Firmly Up

[Image source=Yonhap News]

[Asia Economy Reporter Eunmo Koo] The KOSPI and KOSDAQ indices are showing slight gains in early trading.

On the 2nd, the KOSPI opened at 2,276.61, up 9.46 points (0.42%) from the previous trading day. The KOSPI, which started higher, is holding firm due to net buying by institutional investors. As of 9:15 a.m., it was at 2,274.55, up 7.40 points (0.33%) from the previous day.

Although the indices are rising in early trading, analysts warn that this week's stock market volatility may increase due to the U.S. presidential election and strengthened economic lockdown measures in major European countries. Sangyoung Seo, a researcher at Kiwoom Securities, forecasted, "The Korean stock market is expected to show increased volatility ahead of the U.S. presidential election, and volatility is anticipated to expand depending on the vote count after the election."

He added, "Especially if the vote difference between Trump and Biden is not large or if news of Trump's victory in in-person voting continues, friction over mail-in ballots could intensify, which is a concern," explaining, "This could escalate into election contestation issues by either Trump or Biden, raising concerns about a downgrade in U.S. credit ratings due to political uncertainty."

Looking at current trading trends by participant, institutional investors are net buyers with 48.3 billion KRW, while individual and foreign investors are net sellers with 40.7 billion KRW and 6.1 billion KRW respectively.

By sector, transportation equipment, telecommunications, steel and metals, and food and beverages are rising, while electrical and electronics are declining.

Among the top market capitalization stocks, POSCO, Kia Motors, Hyundai Motor, Hyundai Mobis, Celltrion, and Samsung Biologics are rising. Conversely, Samsung SDI, Samsung Electronics, NAVER, and SK Hynix are falling.

The KOSDAQ index is also holding firm. It opened at 796.46, up 3.81 points (0.48%) from the previous day, and is slightly rising due to net buying by individuals and foreigners, aiming to recover the 800 level. As of 9:15 a.m., it was at 793.62, up 0.97 points (0.12%) from the previous day.

Currently, individual investors are net buyers with 24.9 billion KRW, while institutional and foreign investors are net sellers with 9.4 billion KRW and 14.5 billion KRW respectively.

By sector, computer services, textiles and apparel, digital content, non-metallic minerals, and broadcasting services are rising.

Among the top market capitalization stocks, Kakao Games, EcoPro BM, Genexine, Celltrion Pharm, Seegene, and Alteogen are rising. Meanwhile, Hugel and KMW are falling.

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