by Cha Minyoung
Published 09 May.2024 17:11(KST)
The KOSPI index, having lost its upward momentum, closed down more than 1%. Although it was initially expected to remain flat, the simultaneous selling by foreigners and institutions ahead of options expiration widened the decline.
On the 9th, the KOSPI index closed at 2,712.14, down 32.91 points (1.20%) from the previous trading day. The index started the day slightly lower and extended its losses during the session.
By investor type, foreigners and institutions sold 358.9 billion KRW and 73.7 billion KRW respectively in the KOSPI market, while individuals net bought 413.6 billion KRW. This marked the end of a seven-day consecutive net buying streak by foreigners, who switched to net selling.
By sector, the largest declines were seen in air cargo transportation and logistics (-2.76%), automobiles (-2.76%), healthcare companies and services (-2.69%), banks (-1.87%), and conglomerates (-1.84%).
Most of the top market capitalization stocks fell. Kia (-3.71%), Celltrion (-2.52%), Samsung C&T (-2.50%), Hyundai Motor (-2.07%), SK Hynix (-1.46%), and LG Energy Solution (-1.15%) all closed lower. Samsung Electronics also fell below the 80,000 KRW mark, closing at 79,700 KRW.
Among individual stocks, HD Hyundai Marine & Solutions closed down 7% at 152,300 KRW on its second day after listing, as foreigners concentrated their net selling. The stock opened at 170,200 KRW but the intraday selling pressure of 70.8 billion KRW by foreigners widened the decline.
It is observed that the shift to selling by foreigners ahead of today's options expiration was a significant factor. Caution also increased ahead of the U.S. Consumer Price Index (CPI) release scheduled for the 15th. The CPI data is expected to be an important turning point that could determine the direction of the stock market.
Meanwhile, the KOSDAQ index closed at 870.15, down 2.27 points (0.26%) from the previous trading day. The KOSDAQ index experienced a smaller decline compared to the KOSPI index.
By investor type, institutions and foreigners sold 120.4 billion KRW and 23.4 billion KRW respectively, while individuals bought 143.2 billion KRW.
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