KOSPI Ends Just Above 2340, Extending Decline... Foreigners and Institutions Both 'Selling'

On the 11th, dealers are working in the Hana Bank dealing room in Jung-gu, Seoul, as the KOSPI opened at 2,357.43, up 6.82 points (0.29%) from the previous trading day. On the same day, the won-dollar exchange rate started trading at 1,297.0 won, down 3.4 won from the previous trading day. Photo by Jinhyung Kang aymsdream@

[Asia Economy Reporter Myunghwan Lee] On the 11th, the KOSPI, which had been moving in a flat range during the session, closed with an increased decline toward the end of trading. This is interpreted as investors adopting a wait-and-see stance ahead of this week's U.S. Consumer Price Index (CPI) announcement and the Bank of Korea's Monetary Policy Committee meeting. The decline in the Chinese stock markets during the session also influenced the index's drop.

On the day, the KOSPI closed at 2,340.27, down 0.44% (10.34 points) from the previous trading day. The index opened at 2,357.43, up 0.29% (6.82 points) from the previous day, maintained a slightly positive trend during the session, but the downward momentum increased near the close.

Seokhwan Kim, a researcher at Mirae Asset Securities, explained the KOSPI's decline at the close by saying, "The wait-and-see stance regarding major issues such as this week's U.S. stock market inflation data release and the Bank of Korea's Monetary Policy Committee meeting played a role," adding, "The KOSPI's decline further widened as it synchronized with the drop in the Chinese stock markets during the session."

By investor type, individuals were the sole net buyers with 190.9 billion KRW, while foreigners and institutions sold 19 billion KRW and 188.1 billion KRW worth of stocks, respectively.

Among the top market capitalization stocks on the KOSPI, LG Energy Solution showed the largest gain, closing at 395,000 KRW, up 1.80% (7,000 KRW) from the previous day. Samsung Electronics ended trading at 58,800 KRW, up 0.17% (100 KRW), failing to maintain the 59,000 KRW level reached during the session. Samsung Biologics (1.22%), Samsung Electronics Preferred (0.56%), and Hyundai Motor (0.56%) also closed higher. Conversely, NAVER (-3.41%) and LG Chem (-3.33%) fell by over 3%. SK Hynix (-1.16%), Samsung SDI (-1.86%), and Kakao (-0.70%) also declined.

By sector on the KOSPI, the medical precision sector stood out with a 4.84% rise. Shinhan Investment Corp Research Center noted, "The medical precision sector surged due to the positive news of SD Biosensor's acquisition of Meridian." Pharmaceuticals (1.75%) and telecommunications (1.40%) also closed higher. In contrast, transportation and warehousing (-2.86%), textiles and apparel (-2.56%), and chemicals (-2.17%) ended lower.

The KOSDAQ index closed nearly flat at 767.04, up 0.07% (0.56 points) from the previous day. The KOSDAQ opened at 767.89, up 0.18% (1.41 points), and showed nearly a 1% gain during the morning session, but the upward momentum sharply slowed around noon.

By investor type on the KOSDAQ, individuals were net buyers with 153.2 billion KRW, while foreigners and institutions were net sellers with 118.3 billion KRW and 33.8 billion KRW, respectively.

Among the top market capitalization stocks on the KOSDAQ, the in vitro diagnostic device company Seegene recorded the largest gain, closing at 47,300 KRW, up 5.82% (2,600 KRW) from the previous day. Studio Dragon (1.63%), Celltrion Healthcare (0.28%), and HLB (0.50%) also rose. Conversely, EcoPro BM closed at 114,600 KRW, down 3.62% (4,300 KRW). Alteogen (-3.29%), Pearl Abyss (-2.09%), and L&F (-2.01%) also declined.

By sector on the KOSDAQ, pharmaceuticals (1.95%), publishing and media replication (1.54%), and food and tobacco (1.47%) showed strength. Meanwhile, general electrical and electronics (-2.29%), other manufacturing (-1.31%), and non-metallic minerals (-1.05%) declined.

The securities industry analyzed that the mixed market trend on the day was influenced by the possibility of the U.S. Federal Reserve (Fed) raising its benchmark interest rate. Kyungmin Lee, a researcher at Daishin Securities, said, "Although concerns about a recession eased after last week's U.S. non-farm employment data release, the possibility of aggressive Fed rate hikes was reaffirmed," adding, "With key economic indicators scheduled this week, including U.S. consumer prices, retail sales, industrial production, China's exports and imports, second-quarter GDP growth rate, and June real economy indicators, related cautionary sentiment is also entering the market."

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