Struggling Lone Ant... KOSPI Barely Holding at 2400 'Green Light'

[Image source=Yonhap News]

[Asia Economy Reporter Lee Seon-ae] In the afternoon, the KOSPI showed signs of recovery. It started with an upward trend and maintained the momentum, but it seems unable to overcome concerns about high inflation and aggressive tightening. In particular, with foreigners and institutions predominantly selling while individuals are the sole buyers, the index is struggling to defend against the decline.

As of 1:41 PM on the 15th, the KOSPI index was down 0.20% at 2406.61. The KOSPI opened the day at 2416.01, up 4.59 points (0.19%). It rose to 2420 in the early session, maintaining an upward trend, but then turned downward due to net selling by foreigners. Currently, individuals are buying 241.9 billion KRW in the KOSPI market, while foreigners and institutions are selling 197.6 billion KRW and 63 billion KRW respectively.

In the KOSDAQ market, individuals are buying 129.6 billion KRW, while foreigners are selling 168.8 billion KRW. Institutions are showing a slight net buying of 36.7 billion KRW. The KOSDAQ index is also down 0.29% at 780.66.

Among the top market capitalization stocks, more are declining than rising. In the KOSPI market, Samsung Electronics and SK Hynix are down by around 1%. Samsung Biologics is falling by more than 2%. Naver (NAVER) is hitting a 52-week low, continuing its downward trend. Only LG Energy Solution is showing a rise of over 2%. In the KOSDAQ market, Celltrion Healthcare is up by about 1%, and Ecopro is surging over 7%. Most other stocks are showing gains. Ecopro BM and L&F are down by about 3%.

Seo Sang-young, a researcher at Mirae Asset Securities, said, "The ongoing issue of high inflation in the U.S. and the rise in short-term government bond yields continue to burden the domestic stock market. Given that the Federal Reserve's rate hike pace could be stronger than expected, it is expected to dampen rebound buying sentiment. As a result, rather than active responses, fluctuations are occurring depending on foreign demand and exchange rate changes amid a wait-and-see stance."

Meanwhile, the won-dollar exchange rate started the day at 1391 KRW, soaring to 1397.9 KRW. After verbal intervention by authorities, it calmed down and was recorded at the 1392 KRW level around 1:30 PM. A foreign exchange official said, "We are closely monitoring the market with caution regarding the possibility of market concentration amid increased volatility of the won due to recent external factors." Deputy Prime Minister and Minister of Economy and Finance Choo Kyung-ho also appeared before the National Assembly, stating, "The exchange rate has risen very rapidly, causing public anxiety," and added, "We are closely watching the market situation."

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