Kospi Opens Higher on Retail, Institutional Buying but Struggles to Break Out of Flat Range
Summary
- The Kospi repeatedly moved between gains and flat territory despite net buying by retail and institutional investors.
- Foreign investors were net sellers in both the Kospi and the Kosdaq, limiting the indexes' upside.
- The domestic stock market was broadly mixed, with moves driven by semiconductor shares, Kosdaq heavyweights and a rise in the won-dollar exchange rate.
Forecast Trend Report by Period
The Kospi opened higher on buying by retail and institutional investors, but remained stuck near flat territory.
As of 9:05 a.m. on July 3, the Kospi was up 24.16 points, or 0.32%, at 7,672.25 from the previous session. The index briefly topped 7,700 earlier in the session, but failed to extend gains and moved between positive and flat territory.
Retail investors and institutions were net buyers of 268 billion won and 109 billion won, respectively, on the benchmark Kospi market. Foreign investors were net sellers of 407.1 billion won.
Moves among the market's largest companies were mixed.
Samsung Electronics and SK Hynix rose 2.45% and 0.82%, respectively, showing resilience even after semiconductor stocks tumbled again overnight in New York.
But companies whose valuations are tied to stakes in those two large-cap names were under pressure. SK Square fell 2.62%, Samsung Life Insurance dropped 2.56%, and Samsung C&T slid 2.46%.
Samsung Electro-Mechanics was down 3.27%, while Hanwha Aerospace gained 4.66%.
The Kosdaq fell 8.11 points, or 0.94%, to 858.61. In that market, retail investors and institutions were net buyers of 41 billion won and 6.6 billion won, respectively, while foreign investors were net sellers of 49.6 billion won.
Kosdaq heavyweights were also mixed, though declines were more volatile among the losers.
Jusung Engineering fell 6.59%, while EcoPro BM and EcoPro dropped 5.26% and 4.83%, respectively.
Wonik IPS and Leeno Industrial rose 1.06% and 1.8%, respectively.
In Seoul's foreign-exchange market, the won traded at 1,545.10 per dollar, up 5.09 won, or 0.33%, from the previous session.
U.S. stocks closed mixed overnight as semiconductor shares extended their decline and investors rotated across sectors. On July 2 in New York, the Dow Jones Industrial Average rose 594.83 points, or 1.14%, to 52,900.07. The S&P 500 added 0.01 point to 7,483.24, while the tech-heavy Nasdaq Composite fell 207.36 points, or 0.80%, to 25,832.67.
Han Kyung-woo, 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.