Foreigners and Institutions Net Buy 1 Trillion Won on KOSPI... Stock Market Closes Higher

On the 2nd, the KOSPI index showed strong performance in the early session due to net buying by foreigners and institutions. Dealers are working in the Hana Bank dealing room in Euljiro, Seoul. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Ji Yeon-jin] The domestic stock market closed higher on the 2nd due to simultaneous buying by foreigners and institutions. Large export stocks such as Samsung Electronics and SK Hynix showed strength following solid export trends last month.

The KOSPI index closed at 3,013.49, up 34.55 points (1.16%) from the previous day. The strong semiconductor exports last month appear to have fueled buying by foreigners and institutions. Institutions net purchased 765.2 billion KRW, and foreigners net purchased 322.1 billion KRW on the day. Foreigners switched to a buying trend for the first time since the 26th of last month. Meanwhile, individuals net sold stocks worth 1.0756 trillion KRW.

The rise in the index was led by the semiconductor sector, including Samsung Electronics and SK Hynix. Samsung Electronics closed at 71,500 KRW, up 2.29% on the day. Since the 21st of last month, Samsung Electronics had seen selling pressure from foreigners, dropping to 69,800 KRW on the 29th, but it recovered to 70,000 KRW on this day.

Except for LG Chem (-0.24%), all top market capitalization stocks closed higher. Hyundai Motor (+1.20%), Kia (+1.78%), and Kakao (+1.59%) also showed strength. SK Innovation rose sharply by 3.76%.

Lee Jin-woo, a researcher at Meritz Securities, said, "While the rise in the U.S. stock market had an influence, the announcement of strong earnings from domestic semiconductor companies improved investor sentiment," adding, "As the U.S. market stabilized faster than expected, the previously neglected domestic stock market is belatedly following suit."

The KOSDAQ index closed at 1,009.47, up 10.90 points (1.09%) from the previous day. Individuals net sold about 162.8 billion KRW, while foreigners and institutions net purchased 156.1 billion KRW and 53.8 billion KRW, respectively.

Alteogen, a biopharmaceutical company ranked 11th in KOSDAQ market capitalization, closed up 9.05% on news of new drug development. L&F (+3.25%) and SK Materials (+2.45%) also showed strength. However, Pearl Abyss (-2.75%), Kakao Games (-1.71%), and Wemade (-0.05%) declined.

Kim Seok-hwan, a researcher at Mirae Asset Securities, explained, "The strong Korean semiconductor exports and the Philadelphia Semiconductor Index hitting a new high positively influenced the expansion of foreign net buying," adding, "The digital sector, which had been strong on KOSDAQ for consecutive days, declined due to profit-taking selling."

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