Kospi Slides 2% as Foreign Selling Intensifies; Won Tops 1,500 per Dollar
Summary
- The Kospi and Kosdaq were both down more than 2%% as foreign investors stepped up net selling.
- Large-cap stocks including Samsung Electronics and SK Hynix, along with the broader biotech sector, were mostly lower.
- The won-dollar exchange rate rose to 1,502.60 won per dollar, hurting investor sentiment alongside higher U.S. Treasury yields.
Forecast Trend Report by Period
South Korea’s Kospi opened lower on May 18 as foreign investors sold shares, with losses deepening in early trading.
As of 9:05 a.m., the Kospi had fallen 184.77 points, or 2.47%, to 7,308.41.
Foreign investors were net sellers of 559.8 billion won on the benchmark market, weighing on the index. Individuals and institutions were net buyers of 474.3 billion won and 124.9 billion won, respectively.
Most large-cap stocks were lower.
Samsung Electronics and SK Hynix fell 1.57% and 2.75%, respectively, extending weakness in memory-chip makers after Micron Technology and other peers declined in New York at the end of last week. SK Square also dropped 4.1%.
Hyundai Motor fell 4.43%, LG Energy Solution lost 3%, Samsung Electro-Mechanics declined 3.17%, and Doosan Enerbility slipped 2.98%.
Hanwha Aerospace rose 2.88%. The move appeared to reflect renewed geopolitical tension after U.S. President Donald Trump mentioned the possibility of attacks on Iranian infrastructure.
The Kosdaq was down 26.22 points, or 2.32%, at 1,103.60. In that market, individuals and institutions were net buyers of 61.6 billion won and 9.9 billion won, while foreign investors sold a net 64.4 billion won.
Most of the Kosdaq’s biggest stocks also traded lower.
Jusung Engineering was the only major gainer, jumping 12.77%.
LigaChem Biosciences fell 8.36%. Biotech shares were broadly weaker, with ABL Bio down 5.36%, Samchundang Pharm off 5.28%, Peptron falling 4.82%, and Alteogen losing 2.44%. Higher U.S. Treasury yields weighed on sentiment for growth stocks.
Rainbow Robotics also dropped 4.44%.
In Seoul’s foreign-exchange market, the won was trading at 1,502.60 per dollar, up 5.09 won, or 0.34%, from the previous session.
Han Gyeong-u, Hankyung.com reporter case@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
