KOSPI Ends Up Over 1% Amid Uncertainty Resolution... KOSDAQ Recovers to 900 Level After a Month

[Image source=Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Both the KOSPI and KOSDAQ indices closed with gains of over 1%. The easing of uncertainty regarding US interest rate hikes appears to have had a positive effect on the market.

On this day, the KOSPI index closed at 2,747.08, up 1.61% (43.56 points) from the previous session. The KOSPI opened at 2,729.86, up 0.97% (26.34 points) from the previous trading day, and extended its gains throughout the session.

By investor type, foreigners and institutions were net buyers of 133.2 billion KRW and 260.3 billion KRW respectively, driving the index higher. Conversely, individual investors were net sellers of 392.5 billion KRW.

On the 2nd (local time), Federal Reserve Chairman Jerome Powell appeared before the House Financial Services Committee and mentioned his support for a 25 basis point (1bp=0.01 percentage point) increase in the federal funds rate at the upcoming Federal Open Market Committee (FOMC) meeting this month, which positively influenced the Korean stock market.

Additionally, news that Morgan Stanley Capital International (MSCI) will exclude Russia from its emerging markets index also contributed to improved investor sentiment.

Lee Kyung-min, a researcher at Daishin Securities, analyzed, "Chairman Powell’s remarks were less hawkish than the market had feared," adding, "The less hawkish tone of Powell’s comments worked positively."

By sector, all sectors showed strength, including Paper & Wood (2.06%), Pharmaceuticals (3.04%), Non-metallic Minerals (2.69%), Electrical & Electronics (1.77%), Medical Precision Instruments (2.61%), Transportation Equipment (1.66%), Distribution (1.73%), Electricity & Gas (2.95%), Construction (3.69%), and Transportation & Warehousing (2.89%).

Among the top market capitalization stocks, all showed gains: Samsung Electronics (1.67%), LG Energy Solution (0.69%), SK Hynix (3.20%), Naver (2.68%), Samsung Biologics (2.47%), Kakao (1.36%), LG Chem (0.54%), Hyundai Motor (4.11%), Samsung SDI (0.73%), and Kia (2.36%).

On the same day, the KOSDAQ index closed at 912.32, up 1.88% (16.87 points) from the previous session.

This marks the first time in about a month since February 9 that the KOSDAQ index has surpassed the 900 mark based on closing price.

By investor type, individuals and institutions were net buyers of 64.3 billion KRW and 12.6 billion KRW respectively, while foreigners sold off 53.1 billion KRW.

Among the top market capitalization stocks, Celltrion Group shares, including Celltrion Healthcare (7.47%) and Celltrion Pharm (8.67%), recorded significant gains. Other strong performers included L&F (0.74%), Pearl Abyss (0.99%), HLB (2.29%), and CJ ENM (1.08%).

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