Due to the sharp drop in the US stock market, the domestic stock market fell by about 2%... KOSPI hits the lowest point of the year at 2550 level

[Image source=Yonhap News]

[Asia Economy Reporter Lee Jung-yoon] Due to the fallout from the U.S. stock market crash, the domestic stock market is showing a downward trend on the 10th. With continued selling pressure from individual investors, the KOSPI index is hovering around the 2550 level.

As of 9:40 a.m. on the day, the KOSPI index stood at 2559.95, down 50.86 points (1.95%) from the previous trading day. This is the lowest intraday level of the year, even lower than the 2591.53 recorded on January 28, and the lowest level since November 2020. Individuals are net selling about 90.9 billion KRW, while foreigners and institutions are net buying approximately 16.4 billion KRW and 76.1 billion KRW, respectively.

Most of the top market capitalization stocks are declining. LG Chem fell the most, down 3.67%. Following were Samsung SDI (-2.71%), Kakao (-2.26%), LG Energy Solution (-2.16%), Hyundai Motor (-1.93%), NAVER (-1.64%), Samsung Electronics (-1.06%), SK Hynix (-0.47%), and Kia (-0.36%). Samsung Biologics remained flat.

All sectors are also showing declines. Particularly, Textile & Apparel (-3.35%), Construction (-2.88%), Non-metallic Minerals (-2.85%), Banking (-2.75%), and Chemicals (-2.74%) experienced significant drops.

At the same time, the KOSDAQ index fell 24.72 points (2.87%) from the previous session to 836.12. Individuals and institutions net sold about 41 billion KRW and 0.2 billion KRW, respectively, while foreigners net bought 44 billion KRW.

Among the top market capitalization stocks, secondary battery-related shares such as Cheonbo (-3.48%), EcoPro BM (-3.33%), and L&F (-2.68%) showed notable weakness. Other stocks including Kakao Games (-3.16%) and Rino Industrial (-3.09%) also recorded declines.

Due to concerns over inflation and economic slowdown, on the 9th (local time), the Dow Jones Industrial Average dropped 1.99% (653.67 points) to 32,245.70. The S&P 500 index fell 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.

Seo Sang-young, a researcher at Mirae Asset Securities, explained, "Concerns related to a recession are emerging in the market," adding, "Individual investor sentiment is currently subdued, and whether the selling pressure from individuals is temporary or will continue remains to be seen."

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