Individual 'Palja' Faces Domestic Stock Market Decline... KOSPI Falls Below 2600 Mark

[Asia Economy Reporter Lee Jung-yoon] Due to the sharp decline in the U.S. stock market, the domestic stock market is showing a downward trend on the morning of the 10th. Individual investors continue to sell.

The KOSPI index recorded 2,583.25 at 9:07 a.m., down 27.56 points (1.06%) from the previous day. This is the first time since January 28 this year that the KOSPI has retreated from the 2,600 level during the session. Additionally, it is the lowest level since November 2020.

Individuals led the decline by net selling about 101.1 billion KRW, while foreigners and institutions net bought approximately 31.9 billion KRW and 69.9 billion KRW, respectively.

Due to concerns over inflation and economic slowdown, on the 9th (local time), the Dow Jones Industrial Average fell 1.99% (653.67 points) to 32,245.70. The S&P 500 index dropped 3.20% (132.10 points) to 3,991.24, and the tech-heavy Nasdaq index plunged 4.29% (521.41 points) to 11,623.25. The S&P 500 closed below 4,000 for the first time in a year since March 31 of last year.

The KOSDAQ index also fell 18.95 points (2.20%) from the previous trading day to 841.89. Individuals net sold 34.9 billion KRW, while foreigners and institutions net bought 35.3 billion KRW and 0.3 billion KRW, respectively.

Na Jung-hwan, a researcher at Cape Investment & Securities, explained, "We believe that confirming a peak-out in the U.S. April Consumer Price Index (to be released this week) is necessary to recover the deteriorated investment sentiment."

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