Kospi Slips 0.2% as Semiconductor Shares Weigh; Kosdaq Soars 8.13%
Summary
- The Kospi closed down 0.20% as semiconductor stocks faced valuation pressure and foreign investors sold a net 7.7557 trillion won.
- Despite the announcement of semiconductor investment plans by Samsung Electronics Chairman Jay Y. Lee and SK Group Chairman Chey Tae-won, Samsung Electronics and SK Hynix remained weak, with deteriorating sentiment toward semiconductor stocks cited as a factor.
- The Kosdaq surged 8.13% to 920.57, with foreigners and institutions posting net buying on the Kosdaq, while retail investors were net sellers.
Forecast Trend Report by Period
South Korea’s Kospi slipped on June 29, ending slightly lower and falling back into the 8,300 range.
The benchmark index closed down 16.56 points, or 0.20%, at 8,394.65. After opening lower, it fell as far as the 8,100 range during the session. The Kospi pared losses in afternoon trading but failed to turn higher.
Investors focused on a public briefing on South Korea’s three mega-projects held at 2 p.m. at the presidential office. Samsung Electronics Chairman Jay Y. Lee and SK Group Chairman Chey Tae-won unveiled semiconductor investment plans, but Samsung Electronics and SK Hynix both ended lower.
Lee Kyung-min, an analyst at Daishin Securities, attributed the weak sentiment in semiconductor stocks to concerns over cost burdens from rising chip prices and extreme volatility.
On the Kospi, retail and institutional investors were net buyers of 4.5963 trillion won and 2.9328 trillion won, respectively. Foreign investors were net sellers of 7.7557 trillion won.
Samsung Electronics and SK Hynix both closed lower. Samsung Electronics fell 16,500 won, or 4.86%, to 323,000 won, while SK Hynix dropped 45,000 won, or 1.68%, to 2.628 million won.
Among heavyweight stocks, LG Energy Solution rose 20.81%, Samsung Biologics gained 7.82%, HD Hyundai Heavy Industries advanced 4.96%, Hyundai Motor added 3.43% and Samsung Electro-Mechanics climbed 2.26%. SK Square fell 4.65%, Samsung C&T lost 4.75% and Samsung Life Insurance dropped 5.55%.
Kumho Engineering & Construction jumped to the daily limit after the announcement of a semiconductor investment plan for the southwestern region. Kyeryong Construction Industrial also surged nearly 20%.
The Kosdaq rallied more than 8% to close above 920. The index gained 69.20 points, or 8.13%, to 920.57. A buy-side sidecar, which temporarily suspends program buy orders, was triggered during the session. It was the first buy-side sidecar triggered on the Kosdaq in 12 trading days since June 11.
On the Kosdaq, foreign and institutional investors were net buyers of 38.1 billion won and 503.7 billion won, respectively. Retail investors were net sellers of 526.5 billion won.
Most large-cap Kosdaq stocks rose, including Ecopro, up 23.69%, Ecopro BM, up 20.18%, LigaChem Biosciences, up 14.0%, Alteogen, up 8.59%, Rainbow Robotics, up 7.50%, HLB, up 6.92%, Jusung Engineering, up 6.64%, Kolon TissueGene, up 2.20%, and Leeno Industrial, up 1.19%. Wonik IPS fell 2.93%.
Justek, which made its market debut that day, closed at 17,530 won, up 5,030 won, or 40.24%, from its initial public offering price of 12,500 won.
The won ended the session at 1,545.2 per dollar in Seoul, down 13.2 won from the previous trading day.
Lee Su, Hankyung.com reporter, 2su@hankyung.com
Korea Economic Daily
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