KOSPI Drops Below 2700... Foreigners and Institutions Both 'Selling'

[Image source=Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Both the KOSPI and KOSDAQ indices are recording declines of over 1%. Concerns about a global economic slowdown due to soaring inflation and consecutive hawkish remarks from Federal Reserve officials are interpreted as burdens on the Korean stock market.

As of 10:25 AM on the 25th, the KOSPI stands at 2666.05, up 1.42% (38.36 points) compared to the previous trading day. The KOSPI opened at 2676.67, down 1.04% (28.04 points) from the previous trading day.

By investor type, individual investors alone bought stocks worth 439.5 billion KRW. In contrast, foreigners and institutions sold stocks worth 191.6 billion KRW and 245.4 billion KRW, respectively.

Seosangyoung, a researcher at Mirae Asset Securities, said, "Federal Reserve Chair Powell and other Fed officials have emphasized that the 'inflation peak' has not yet been reached, raising concerns that additional inflationary pressures could increase, which is increasing downward pressure on the stock market. However, with the upcoming earnings season for major stocks such as Apple, Alphabet, and domestic stocks like Hyundai Motor and SK Hynix, a rebound may be sought."

By sector, all sectors are declining except for Food and Beverage (2.25%). The sectors are falling in the following order: Textile and Apparel (-5.13%), Medical Precision (-4.06%), Transportation and Warehousing (-2.95%), Non-metallic Minerals (-2.86%), Machinery (-2.61%), Steel and Metals (-2.44%), Construction (-2.05%), Chemicals (-2.01%), and Transportation Equipment (-1.97%).

All of the top 10 KOSPI market capitalization stocks are declining. Samsung Electronics (-0.90%), LG Energy Solution (-0.92%), SK Hynix (-2.26%), Samsung Biologics (-0.75%), Samsung Electronics Preferred (-0.83%), NAVER (-2.83%), Kakao (-1.52%), Samsung SDI (-3.02%), Hyundai Motor (-1.94%), and LG Chem (-1.34%) are all showing downward trends.

At the same time, the KOSDAQ index is at 903.92, down 2.04% (28.86 points) from the previous trading day. The KOSDAQ opened at 909.53, down 1.44% (13.25 points) from the previous trading day.

Looking at investor trends, KOSDAQ also saw individual investors buying stocks worth 154.9 billion KRW alone, while foreigners and institutions sold stocks worth 92.2 billion KRW and 42.6 billion KRW, respectively.

By sector, all sectors except Food and Beverage (2.24%) are declining on the KOSDAQ as well. The sectors are falling in the following order: IT Components (-3.49%), Paper and Wood (-3.04%), Telecommunications Equipment (-2.94%), Pharmaceuticals (-2.72%), Publishing (-2.63%), Textile and Apparel (-2.63%), Transportation (-2.39%), Metals (-2.30%), Transportation Equipment/Parts (-2.29%), Software (-2.28%), and General Electric and Electronics (-2.20%).

Among the top market capitalization stocks, all are declining except for Cheonbo (1.09%). EcoPro BM (-2.15%), Celltrion Healthcare (-3.16%), L&F (-5.54%), Kakao Games (-1.77%), Celltrion Pharm (-3.78%), HLB (-2.04%), and Rino Industrial (-0.83%) are all showing downward trends.

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