Foreigners, "Sell Korea" for 2 Consecutive Weeks This Month... Buying Secondary Batteries

On the 16th, when the won-dollar exchange rate started to rise, dealers were working in the dealing room of Hana Bank in Euljiro, Seoul. Photo by Mun Ho-nam munonam@

[Asia Economy Reporter Ji Yeon-jin] Foreign investors have continued their net selling trend for two consecutive weeks this month. This is attributed to the sharp rise in the won-dollar exchange rate and increased tightening concerns triggered by inflation data that defied expectations of easing inflation in the U.S., leading to accelerated capital withdrawal by foreigners.

According to the Korea Exchange on the 18th, foreign investors net sold stocks worth approximately 169.3 billion KRW in the domestic stock market from the 13th to the 16th. Although the selling trend weakened compared to the previous week before the Chuseok holiday, when net sales amounted to 898.3 billion KRW, it remains a net selling trend for two consecutive weeks this month.

Last week, the stocks most purchased by foreign investors were Samsung SDI with net purchases worth 117 billion KRW, closely followed by LG Energy Solution at 100.6 billion KRW. Next were Hyundai Motor (82.8 billion KRW), SK Hynix (60.2 billion KRW), and SM Entertainment (35.9 billion KRW).

On the other hand, during this period, foreign investors net sold Samsung Electronics the most, with 103.4 billion KRW worth of shares sold. Doosan Enerbility (-72.2 billion KRW), NAVER (-66.1 billion KRW), Kakao (-56.7 billion KRW), and Korea Zinc (-50.8 billion KRW) also ranked among the top net sold stocks.

Seojung-hoon, a researcher at Samsung Securities, stated, "With front-end demand still solid, smooth price pass-through, and quick recovery from supply chain disruptions, sectors like finished cars and secondary batteries could benefit further from exchange rate effects, making positive third-quarter earnings fully expected." He added, "Although index fluctuations are noticeable, the continued foreign buying interest in these sectors indicates their appeal." Researcher Seo also recommended domestic eco-friendly energy-related stocks.

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