Domestic Stock Market Absorbs Negative Factors... KOSPI Rebounds Intraday to 2950 Level

The KOSDAQ, which started lower, also shows a rebound of over 1.5%

[Image source=Yonhap News]

[Asia Economy Reporter Gong Byung-sun] Despite individual selling pressure, the domestic stock market is rebounding due to institutional buying. While semiconductor-related stocks underperformed in the U.S. stock market, domestic semiconductor stocks were less affected as they had already declined the previous day.

As of 11:18 a.m. on the 13th, the KOSPI recorded 2,948.83, up 1.11% (32.45 points) from the previous day. The KOSPI, which started lower, turned to an upward trend early in the session. It even rose to 2,950.95 at 10:57 a.m. that day.

The recent domestic market's early digestion of negative factors is helping it avoid further weakness. The previous day, concerns over high inflation and weakness in semiconductor stocks caused the KOSPI to close down 1.35%. Although the Philadelphia Semiconductor Index in the U.S. fell 1.34% on the 12th (local time), the impact on the domestic market appears limited.

Seosangyoung, a researcher at Mirae Asset Securities, explained, "The International Monetary Fund (IMF) also warned about inflation and downgraded global growth forecasts, but this had already been factored into the domestic market's weakness. With growing expectations that the previously insufficient semiconductor chips will be supplied, the automobile sector is also showing strength, so it is necessary to pay attention to individual stocks."

Institutional buying is strong. Institutions net purchased 384.4 billion KRW. Individuals and foreigners net sold 298.4 billion KRW and 109.6 billion KRW, respectively.

Most sectors rose. The machinery sector had the largest gain at 3.44%, followed by transportation equipment (2.41%), services (2.15%), medical precision (1.58%), and securities (1.56%). Insurance (-0.65%) and steel & metals (-0.38%) declined.

All of the top 10 stocks by market capitalization rose. Kakao had the largest increase at 3.52%, followed by Hyundai Motor (3.18%), Kia (2.43%), NAVER (2.02%), SK Hynix (1.86%), Samsung SDI (1.36%), LG Chem (1.26%), Celltrion (0.93%), Samsung Electronics (0.72%), and Samsung Biologics (0.24%).

At the same time, the KOSDAQ recorded 954.31, up 1.51% (14.16 points) from the previous day. It also started lower but turned upward and rose to 954.63.

Foreigners and institutions' buying led to the index's rise. Foreigners and institutions net purchased 117.3 billion KRW and 21.6 billion KRW, respectively. Individuals net sold 144.8 billion KRW.

All sectors rose. IT components had the largest gain at 3.85%, followed by general electric & electronics (3.54%), paper & wood (3.10%), chemicals (2.87%), and broadcasting services (2.82%).

Except for HL Biopharma, all of the top 10 stocks by market capitalization rose. L&F had the largest increase at 7.93%, followed by EcoPro BM (5.59%), Pearl Abyss (3.79%), CJ ENM (3.74%), Alteogen (2.60%), Kakao Games (1.68%), SK Materials (1.37%), Celltrion Healthcare (1.03%), and Celltrion Pharm (0.41%). HL Biopharma fell 3.31%. Wemade dropped 0.66%, falling out of the top 10 by market capitalization.

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