[Edaily Reporter Kim Hyung-il ] The domestic stock market opened higher, buoyed by easing concerns over the Federal Reserve’s (Fed) monetary tightening following weak U.S. employment data. Driven by buying momentum centered on tech stocks in overnight trading on the New York Stock Exchange, the KOSPI recovered the 6,300 level, while the KOSDAQ is rising more than 3% on strength in biotech and semiconductor equipment stocks.

According to MP Doctor on the 11th, as of 9:20 a.m., the KOSPI is trading at 6,316.77, up 58 points (0.93%) from the previous trading day. There are 362 gainers, 62 stocks trading flat, and 472 decliners. The KOSDAQ is up 25.05 points (3.14%) to 823.86. There are 1,098 gainers (including 3 at the daily price limit), 101 unchanged stocks, and 506 decliners.

By investor type, in the KOSPI market, institutions are supporting the index’s rise with net purchases of 121.7 billion won, while retail investors are net buyers of 47.8 billion won. Foreign investors are net sellers of 179.1 billion won, appearing to take profits. In the KOSDAQ market, foreign investors and institutions made net purchases of 80.2 billion won and 29.5 billion won, respectively, while retail investors made net sales of 110.5 billion won. Foreign investors, who engaged in large-scale selling last week—primarily of semiconductor stocks—continued their net selling on the KOSPI today but showed a buying bias on the KOSDAQ, indicating improving investor sentiment toward growth stocks.

Stocks with the highest market capitalization are generally showing strength. SamsungElectronics(005930)is up 1.41%, SK hynix(000660)is up 3.16%, SamsungElectronics(1P)(005935)is up 2.41%, SKSQUARE(402340)is up 2.45%, SamsungElectroMechanics(009150)is up 4.07%, and HyundaiMotor(005380)is up 0.88%. On the other hand, LG Energy Solution(373220)(-1.67%), SAMSUNG BIOLOGICS(207940)(-0.58%), and KB Financial Group(105560)(-3.3%) are showing weakness. While semiconductor stocks, which were weak last week, are rebounding, secondary battery and financial stocks are showing mixed performance depending on the individual stock.

Rising trends also dominate among the top KOSDAQ stocks by market capitalization. With Alteogen Inc.(196170)surging 12.13%, JUSUNG ENGINEERING Co.,Ltd.(036930)(10.09%), WONIK IPS Co.,Ltd.(240810)(9.4%), SIMMTECH Co., Ltd.(222800)(8.55%), HLB INC.(028300)(4.96%), LEENO Industrial Inc(058470)(3.5%), ABL Bio Inc.(298380)(2.77%), ECOPRO CO., LTD(086520)(1.51%), Rainbow Robotics(277810)(1.18%), ECOPRO BM CO., LTD.(247540)(0.56%), and others are rising. Buying interest, centered on biotech and semiconductor equipment stocks, is driving the KOSDAQ’s strength.

By sector, on the KOSPI, metals (3.93%), medical and precision instruments (3.24%), securities (2.48%), machinery and equipment (2.21%), electrical and electronics (1.52%), and manufacturing (1.35%) are showing strength. On the KOSDAQ, non-metals (8.23%), general services (7.67%), machinery and equipment (4.72%), electrical and electronics (3.65%), and manufacturing (3.48%) are showing gains.

By market capitalization, KOSPI large-cap stocks are leading the index higher with a 1.23% gain. In contrast, mid-cap stocks fell 0.28%, while small-cap stocks rose 0.42%.

Overnight, U.S. stock markets rose across the board as U.S. July nonfarm payrolls fell significantly short of market expectations, easing concerns over further monetary tightening by the Federal Reserve. The Dow Jones Industrial Average rose 0.3%, the S&P 500 index rose 0.6%, and the Nasdaq index rose 1.3%. The market focused more on the reduced likelihood of interest rate hikes than on concerns about an economic slowdown, leading to buying interest centered on technology stocks.

The securities industry views the weak U.S. employment data as actually reducing the likelihood of further interest rate hikes by the Federal Reserve (Fed), thereby improving investor sentiment. Kang Jin-hyuk, an analyst at Shinhan Investment Securities, stated, “Tech stocks performed strongly as concerns over monetary tightening eased due to the weak U.S. employment data,” adding, “The domestic stock market is also expected to see a rotation of buying interest, centered on non-semiconductor sectors such as batteries and biotech.”

Han Ji-young, an analyst at KIWOOM Securities, said, “This week, key factors affecting the domestic stock market include the U.S. Consumer Price Index (CPI) and Producer Price Index (PPI), July revenue figures from TSMC—the world’s largest semiconductor foundry—and earnings reports from AI-related companies such as Cisco, CoreWeave, and Applied Materials (AMAT).” “If these companies post solid earnings, concerns about a slowdown in the AI and memory semiconductor sectors will ease, and there is a possibility that foreign investors—who sold off semiconductor stocks in large numbers last week—will resume buying,” she said.