Despite Concerns Over Ukraine War, KOSPI Maintains Over 1% Rise in Morning Session

Western Countries' Sanctions Weaker Than Market Expectations
All Top Market Cap Stocks on the Rise

On the 25th, as the US additional sanctions on Russia did not exceed market expectations and geopolitical risks eased, the KOSPI started the session with a 1% rise. Dealers are working in the dealing room at the Hana Bank headquarters in Jung-gu, Seoul. Photo by Kang Jin-hyung aymsdream@

[Asia Economy Reporter Minji Lee] The KOSPI and KOSDAQ indices are showing significant gains. It is analyzed that the domestic stock market rebounded influenced by the strong rise in the US Nasdaq index.

As of 10:29 AM on the 25th, the KOSPI stood at 2,682.58, up 1.13% (30.02 points) from the previous trading day. The KOSPI opened at 2,678.47, up 1.12% (29.67 points) from the previous day, and has continued its upward trend. Looking at investor trends, institutions and individuals bought stocks worth 43.1 billion KRW and 26.2 billion KRW respectively. Foreigners were the sole sellers, offloading stocks worth 75.3 billion KRW.

The reason for the rise in the US stock market is that the sanctions imposed by Western countries were not as strong as expected. President Biden included four major Russian financial institutions in the sanctions list and decided to restrict major foreign exchange transactions. However, there was no specific mention of controlling Russia’s energy exports and imports, which was expected to be a high-intensity measure. He also stated that Russia’s expulsion from the international financial messaging system SWIFT would not be implemented yet. He mentioned that European countries do not want SWIFT restrictions; if Russia were excluded from the payment network, various export payments would be restricted, causing economic damage to trading partners as well.

Sangyoung Seo, a researcher at Mirae Asset Securities, said, “The Ukraine issue ended faster than expected, and the weak export sanctions by Western countries without US troop deployment acted as positive factors for the stock market,” adding, “The US stock market, having digested the Russia-Ukraine invasion issue, will continue a positive trend.”

By sector, machinery (3.54%), services (2.28%), non-metallic minerals (2.22%), and textiles and apparel (2.11%) showed the largest gains. Among the top market capitalization stocks, Samsung Electronics traded at 72,300 KRW, up 1.12% from the previous day. LG Energy Solution (2.4%), SK Hynix (1.63%), Samsung Biologics (0.53%), NAVER (3.14%), Kakao (4.22%), and LG Chem (1.09%) also rose.

At the same time, the KOSDAQ index stood at 868.03, up 2.34% (19.82 points) from the previous trading day. The KOSDAQ opened at 864.72, up 1.95% (16.15 points) from the previous day, maintaining its upward trend. Looking at investor trends, individuals were the sole sellers, offloading stocks worth 157.2 billion KRW, while foreigners and institutions bought stocks worth 138.6 billion KRW and 20.9 billion KRW respectively.

By sector, general electrical and electronics (4.23%), paper and wood (3.69%), digital content (3.4%), and transportation equipment and parts (3.36%) showed the largest gains. Among the top market capitalization stocks, Celltrion Healthcare traded at 61,300 KRW, up 2.16% from the previous day. Most stocks including EcoPro BM (6.51%), L&F (5.22%), Pearl Abyss (3.2%), Kakao Games (4.49%), WeMade (3.24%), and HLB (5.72%) rose.

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