KOSPI Expected to Reach 3000, Mixed Trends Amid Early Foreign and Institutional Selling

[Asia Economy Reporter Eunmo Koo] The KOSPI, which raised expectations for breaking the 3,000-point mark by hitting an all-time high from the first trading day of the year, is showing mixed trends in early trading amid selling by foreigners and institutions.

On the 5th, the KOSPI opened at 2,943.67, down 0.78 points (0.03%) from the previous trading day. The KOSPI, which started lower, is showing mixed trends in early trading as individual investors continue buying while foreigners and institutions are realizing profits. As of 9:20 a.m., it recorded 2,940.57, down 3.88 points (0.13%) from the previous day.

Overnight, major indices on the New York Stock Exchange fell due to uncertainty over the Georgia Senate runoff election in the U.S. and concerns over strengthened lockdown measures in major countries. On the 4th (local time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed at 32,023.89, down 382.59 points (1.25%) from the previous session. The Standard & Poor's (S&P) 500 index closed at 3,700.65, down 55.42 points (1.48%), and the tech-heavy Nasdaq index ended at 12,698.45, down 189.84 points (1.47%).

Sangyoung Seo, a researcher at Kiwoom Securities, said, "Although the U.S. stock market showed weakness as profit-taking increased and selling pressure emerged, it is important to note that stocks with positive news still showed solid performance. In particular, gold, crude oil, semiconductor equipment, and electric vehicle-related stocks showed strength. Considering this, the Korean stock market is likely to see a correction due to profit-taking, but the market will continue to focus on individual sectors and stock groups rather than the index."

Looking at the current trading trends by participant, individual investors are net buyers with 366.1 billion KRW, continuing their buying from the previous day, while foreign and institutional investors are net sellers with 245.6 billion KRW and 124.6 billion KRW respectively, realizing profits.

By sector, steel and metals, non-metallic minerals, construction, and machinery are rising, while electric and gas utilities, banks, services, and securities are falling.

Among the top market capitalization stocks, POSCO is showing strong performance with a rise of over 5%, and Hyundai Mobis, Celltrion, and Hyundai Motor are also rising. On the other hand, NAVER, Kakao, SK Hynix, and LG Chem are declining.

The KOSDAQ index is also moving around the flat line in early trading. The KOSDAQ opened at 976.43, down 1.19 points (0.12%) from the previous day, fluctuating around the 980-point level amid selling by institutions and foreigners. As of 9:20 a.m., it recorded 977.15, down 0.47 points (0.05%) from the previous day.

Looking at the current supply and demand situation, similar to the KOSPI, individual investors are net buyers with 91.4 billion KRW, while institutions and foreign investors are net sellers with 51.8 billion KRW and 35.5 billion KRW respectively.

By sector, telecommunications services, publishing and media replication, distribution, and non-metallic minerals are rising, while software and telecommunications equipment are falling.

Among the top market capitalization stocks, Studio Dragon, Celltrion Pharm, Celltrion Healthcare, and Seegene are rising, while Genexine, SK Materials, and KMW are declining.

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