[Edaily Reporter Lee Hye-ra] Both markets opened strong today, following a rebound the previous day. Immediately after the opening bell, the KOSPI reclaimed the 8,200 level, and the KOSDAQ index also rose above the 1,000 mark.
According to MP Doctor on the 12th, as of 9:20 a.m., the KOSPI was trading at 8,366.42, up 588.31 points (7.58%) from the previous trading day.
The index, which opened with a gain of around 6%, expanded its gains to over 7%, quickly surpassing the 8,300 mark once again. At the same time, the buy-side circuit breaker was triggered. This marks the 13th time the buy-side circuit breaker has been triggered this year.
Following remarks by President Donald Trump last night hinting at a peace agreement with Iran, which sent the three major U.S. stock indices closing up 1–2%, the domestic market today appears to be shifting its focus toward positive sentiment, putting aside recent uncertainties.
The bullish trend in the KOSPI market today is being led by institutional buying, primarily from the financial investment sector. Institutions have switched to net buying for the first time in two days, with a net buying volume of approximately 601.4 billion won as of this writing. Foreign investors have also switched to buying for the first time in 12 trading days, purchasing 541.2 billion won worth of stocks. Only retail investors are selling.
Top-tier stocks by market capitalization are also rising one after another.
#Samsung Electronics and #SK Hynix are each up 8–9%. None of the top 50 stocks by market capitalization are down. With major U.S. stocks like NVIDIA, AMD, and Micron rebounding in New York, Korea’s leading semiconductor stocks appear to be driving the market’s upward momentum today.
By stock, 772 are up, 110 are down, and 28 are unchanged at this time.
At this time, the KOSDAQ index is trading at 1,036.77 points, up 39.09 points (3.99%) from the previous trading day. The index, which opened around the 930 level, is extending its gains from the early session.
The KOSDAQ index, which reclaimed the 1,020 level immediately after the opening, is also continuing its upward trend following the previous day’s sharp rise.
In terms of market participants, retail investors are showing strong buying momentum in the KOSDAQ market. As of this writing, retail investors are net buyers by 240.5 billion won. In contrast, foreign and institutional investors are both net sellers. Foreign and institutional investors are selling approximately 216.7 billion won and 32.1 billion won, respectively.
Top-cap stocks on the KOSDAQ are also showing strong gains.
Among the top 20 stocks by market capitalization, #Rino Industrial is the only one trading lower. While #Ecopro BM and #Ecopro are up by 4% and 6% respectively, semiconductor materials, parts, and equipment stocks such as #Juseong Engineering, #Wonik IPS, and #IOTechnics are surging by 5–6% today, following yesterday’s gains.
On the KOSDAQ, 1,402 stocks are up, 266 are down, and 55 are unchanged.
Across both markets, the sectors showing the strongest gains are diversified conglomerates, semiconductors and semiconductor equipment, electronic equipment and devices, and construction. The sectors declining are diversified telecommunications services, department stores and general retail, hotels and leisure, and healthcare technology.
Han Ji-young, an analyst at Kiwoom Securities, stated, “As the recent correction in the domestic stock market alleviates the burden caused by record-breaking surges and concentration in certain sectors, the environment for rotational trading is improving,” adding, “It is also necessary to consider a strategy of focusing on sectors that have underperformed relatively.” She added, “Although the KOSDAQ surged yesterday, it had been excessively neglected, underperforming the KOSPI significantly for some time,” noting, “It is appropriate to pay closer attention to the KOSDAQ than before.”