KOSPI Falls Below '3100'... Foreigners and Institutions Sell Off Together

[Image source=Yonhap News]

[Asia Economy Reporter Park Jihwan] On the afternoon of the 22nd, the KOSPI reversed to a decline due to selling pressure from foreigners and institutions. Foreign and institutional investors, who had shown a buying preference until the morning, switched to net selling.

As of 2 PM that day, the KOSPI stood at 3,099.11, down 8.51 points (0.27%) from the previous trading day. By investor type, individuals, who were net sellers in the morning, were net buyers with 444.7 billion KRW. In contrast, foreigners and institutions shifted from a buying preference in the morning to net selling of 126.1 billion KRW and 342.6 billion KRW, respectively, in the afternoon.

Among the top 10 stocks by market capitalization, semiconductor stocks such as Samsung Electronics (0.36%) and SK Hynix (3.38%) rose. This is interpreted as semiconductor stocks leading the rally following news that exports increased by 16.7% year-on-year and daily average exports surged by 29.2% as of the 20th. On the other hand, NAVER(-2.39%), Celltrion(-1.41%), Kia Motors(-1.71%) were on a downward trend.

The KOSDAQ also recorded 958.97, down 6.14 points from the previous trading day. Individuals bought 262.8 billion KRW, while foreigners and institutions were net sellers of 138.5 billion KRW and 108.7 billion KRW, respectively.

Among the top market capitalization stocks, most declined. Celltrion Healthcare (-1.18%), Celltrion Pharm (-0.99%), Seegene (-5.37%), Pearl Abyss (-1.00%), and Kakao Games (-1.28%) were weak. Only Alteogen and HL Biopharma rose by 0.44% and 1.89%, respectively.

The domestic stock market is analyzed to be reflecting investor caution over rising U.S. interest rates. In particular, on this day, the market faced downward pressure as the People's Bank of China continued liquidity withdrawal.

Seosangyoung, a researcher at Kiwoom Securities, explained, "The domestic stock market turned to a decline as selling emerged following news that the People's Bank of China absorbed liquidity of 260 billion yuan last Thursday, 80 billion yuan on Friday, and 40 billion yuan on this day," adding, "The switch to net selling of spot stocks by foreigners and institutions is also a factor behind the index's weakness."

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