KOSPI Moves Firmly Around 2420 Early in Session... Institutions Sole Buyers

[Image source=Yonhap News]

[Asia Economy Reporter Myung-Hwan Lee] The KOSPI is showing a firm upward trend shortly after the market opened on the 5th. Institutional investors are net buying stocks worth over 500 billion KRW in the securities market.

As of 9:15 AM, the KOSPI stands at 2,421.12, up 0.49% (11.71 points) from the previous trading day. The KOSPI opened at 2,410.07, up 0.03% (0.66 points) from the previous day, and is moving within a firm upward range.

Institutional investors are supporting the index by purchasing 50.5 billion KRW worth of stocks alone in the securities market. Meanwhile, individual and foreign investors are net selling stocks worth 42.5 billion KRW and 2.6 billion KRW, respectively.

Among the securities market’s market capitalization stocks, Hyundai Motor is trading at 199,500 KRW, up 1.53% (3,000 KRW) from the previous day, showing a strong upward trend. LG Chem is also trading at a price 1.15% higher than the previous day. LG Energy Solution has risen 0.31%, marking its third consecutive day of gains, fueled by expectations of benefits from the Inflation Reduction Act (IRA). Cheil Worldwide is showing an increase of over 4% following securities firms’ forecasts of strong second-half earnings.

At the same time, the KOSDAQ index is at 784.33, down 0.20% (1.55 points) from the previous trading day. The KOSDAQ opened at 784.83, down 0.13% (1.05 points) from the previous day, and is showing a slightly weak trend.

In the KOSDAQ market, foreign investors are selling stocks worth 12.7 billion KRW. In contrast, individual and institutional investors are net buying stocks worth 24.7 billion KRW and 5.1 billion KRW, respectively.

Among the top market capitalization stocks in the KOSDAQ, Studio Dragon (4.05%) and HLB (3.04%) are showing strong gains. L&F is notably down 3.47% from the previous day. Disaster recovery-related stocks are hitting the upper price limit in the KOSDAQ market. This appears to be due to investor expectations as the Korean Peninsula enters the influence zone of Typhoon Hinnamnor. Korea SE rose 29.79% from the previous day, approaching the price limit. Uwon Development (14.77%) and Nature & Environment (3.05%) are also on the rise.

This week, the domestic stock market is expected to show a cautious trading pattern ahead of events such as the Chuseok holiday, the U.S. Federal Reserve’s Beige Book release, and the simultaneous expiration of futures and options in the domestic market, according to securities firms. Ji-Young Han, a researcher at Kiwoom Securities, said, "Due to the intertwined cautious sentiment and watchful attitude surrounding domestic and international events, the overall index movement is expected to stagnate. Differentiated stock price movements are anticipated among specific themes such as solar power, shipbuilding, defense, and Apple-related stocks including the iPhone value chain, centered around the unveiling of Apple’s new products."

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