Foreign Investors and Institutions 'Sell' Driving KOSPI Down... KOSDAQ Sees Slight Rise

[Image source=Yonhap News]

[Asia Economy Reporter Lee Jung-yoon] The KOSPI is showing weakness in the early session as foreigners and institutions continue to sell.

As of 9:12 a.m. on the 20th, the KOSPI index was recorded at 2,228.35, down 9.09 points (0.41%) from the previous trading day. The index opened at 2,225.53, down 11.91 points (0.53%), then narrowed its losses. Individuals were the sole net buyers with approximately 118.2 billion KRW, while foreigners and institutions were net sellers with about 102.1 billion KRW and 18.4 billion KRW respectively.

Among the top market capitalization stocks, most are weak except Hyundai Motor (0.30%) and LG Energy Solution (0.40%). SK Hynix fell the most, down 2.58%. This was followed by Samsung SDI (-2.48%), LG Chem (-1.85%), and Samsung Biologics (-1.65%).

Today, the KOSPI is declining as U.S. Treasury yields rise despite corporate earnings announcements, leading to a drop in the U.S. stock market. On the 19th (local time), the Dow Jones Industrial Average closed at 30,423.81, down 99.99 points (0.33%) from the previous session. The large-cap S&P 500 index ended at 3,695.16, down 24.82 points (0.67%). The tech-heavy Nasdaq index closed at 10,680.51, down 91.89 points (0.85%).

Han Ji-young, a researcher at Kiwoom Securities, explained, "Due to the inflow of position liquidation following the recent short-term rebound, combined with weakness in the U.S. stock market and the rise in the USD-KRW exchange rate, we expect a limited stock price movement with differentiated performance across sectors." The USD-KRW exchange rate opened at 1,435.4 won, up 9.2 won.

At the same time, the KOSDAQ index rose slightly, recording 692.02, up 1.46 points (0.21%) from the previous day. Individuals were net buyers with about 50.3 billion KRW. Foreigners and institutions showed net selling, offloading approximately 25.5 billion KRW and 22.6 billion KRW respectively.

Among the top market capitalization stocks, Cheonbo (0.75%), EcoPro (0.67%), and Lino Industrial (0.44%) rose. Meanwhile, EcoPro BM fell 1.60%, showing the largest decline.

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