KOSPI Ends Mixed... Samsung Electronics Falls 1.75%

KOSPI Shows Mixed Trends but Closes Higher
Samsung Electronics Falls Due to Previous Day's Sharp Rise

The KOSPI index, after starting higher, has been fluctuating around the flat line due to selling by foreign and institutional investors. On the 14th, dealers are working in the Hana Bank dealing room in Euljiro, Seoul. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Junho Hwang] On the 4th, the stock market closed mixed. Amid heightened volatility due to options expiration, the tightening burden increased following the Bank of Korea's base rate hike in the morning. Later, as China announced plans to implement additional reserve requirement ratio cuts and other accommodative monetary policies, the market's direction became even more uncertain.

On the day, the KOSPI closed at 2716.71, down 0.22 points (0.01%) from the previous session. The KOSPI started the day higher but fell in the early session before rising again in the afternoon, showing a mixed trend. Individual investors steadily bought, purchasing 84.6 billion KRW. Institutions also joined in during the afternoon, net buying 158.9 billion KRW. In contrast, foreign investors consistently sold, net selling 254.2 billion KRW throughout the day.

Among all stocks, 540 rose. Market capitalization leaders showed mixed results by stock. Samsung Electronics, the perennial market leader, closed at 67,500 KRW, down 1.75% from the previous session, weighed down by the prior day's gains. Similarly, semiconductor stock SK Hynix closed at 110,000 KRW, down 2.65%. On the other hand, Samsung Biologics (3.84%), Samsung SDI (3.51%), LG Energy Solution (2.32%), NAVER (0.81%), and Kakao (0.31%) all posted gains.

In particular, Samsung Biologics' stock was influenced by a report from Daishin Securities forecasting the signing of a land purchase contract for about 110,000 pyeong (acquisition cost 426 billion KRW) to begin construction of Plant 5 and expand the 2nd Bio Campus in Q2 this year. Researcher Yoonjin Lim of Daishin Securities analyzed, "As announced at the JP Morgan Healthcare Conference earlier this year, the new plant expansion is becoming visible, accelerating the securing of future growth drivers."

By sector, pharmaceuticals (1.91%), non-metallic minerals (1.23%), and textiles/apparel (1.02%) showed relatively strong gains. The pharmaceutical sector's rise was driven by the strong performance of Ildong Holdings (29.82%) and Ildong Pharmaceutical (21.46%). Although the COVID-19 oral treatment jointly developed by Shionogi Pharmaceutical and Ildong Pharmaceutical was judged as "not suitable for prescription to pregnant women," Shionogi Pharmaceutical stated that this would not affect the conditional approval review, supporting the strong performance.

The KOSPI index, after starting higher, has been fluctuating around the flat line due to selling by foreign and institutional investors. On the 14th, dealers are working in the Hana Bank dealing room in Euljiro, Seoul. Photo by Moon Honam munonam@

The KOSDAQ closed at 928.01, up 0.70 points (0.08%). The KOSDAQ started higher, turned lower in the morning, and then rose again in the afternoon, showing a mixed trend. Individual investors net bought 80.9 billion KRW, while foreign and institutional investors showed net selling intentions of 34.7 billion KRW and 26.6 billion KRW, respectively.

Among all stocks, 677 rose and 654 fell. Among the top market cap stocks, gaming stocks showed strength. Wemade (4.82%) and Pearl Abyss (4.37%) recorded relatively strong gains. By sector, food, beverages, and tobacco (3.15%), broadcasting services (2.75%), and digital (1.75%) showed relatively strong gains.

On the day, the won-dollar exchange rate fell 0.27% from the previous session to 1224.70. This is analyzed as an effect of the interest rate hike and the decline in the dollar index.

Researcher Seokhwan Kim of Mirae Asset Securities analyzed, "The U.S. stock market's rise due to inflation peaking and earnings season expectations was reflected in the domestic market, but volatility increased due to the interest rate hike announcement and options expiration. With the lifting of the special COVID-19 travel advisory for all countries starting today, expectations for passenger demand recovery have grown, boosting reopening-related stocks such as airlines and food and beverages."

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