[Edaily Reporter Kim Kyung-eun ] The KOSPI is down by about 1% amid concerns that U.S. interest rate hikes may come sooner than expected. While foreign and institutional investors are both selling, buying by other corporate entities has continued, allowing the market to partially recover from its early-session losses.

According to MP Doctor on the 31st, as of 1:16 p.m. today, the KOSPI is trading at 6,680.01, down 108.87 points (1.60%) from the previous trading day. The index opened at 6,613.58, down 175.30 points (2.58%) from the previous close, and although it fell more than 3% during the session, it has since partially recovered.

By investor type, retail investors were net buyers of 396.7 billion won, while foreign and institutional investors were net sellers of 772.2 billion won and 741.8 billion won, respectively. Other corporate investors purchased 1.1173 trillion won worth of stocks, continuing their buying streak for the ninth consecutive trading day. This is interpreted as being influenced by share buybacks by SamsungElectronics and SK hynix.

The index decline is largely attributed to heightened expectations of a benchmark interest rate hike in September. Kevin Warsh, Chairman of the U.S. Federal Reserve (Fed), expressed strong caution regarding inflation and adopted a hawkish stance (favoring monetary tightening) at the Jackson Hole Economic Symposium held in Wyoming on the 28th (local time).

In addition, forecasts that China’s Changxin Memory (CXMT), whose first-half revenue surged, could threaten existing memory market leaders SamsungElectronics and SK hynix are also seen as factors dragging down the index. Furthermore, international oil prices rose by more than 1% as military tensions between the U.S. and Iran escalated again over the weekend.

Kang Jin-hyuk, an analyst at Shinhan Investment Securities, explained, “As the market interpreted Chair Wash’s remarks as hawkish, expectations for a rate freeze in September have weakened,” adding, “Investor sentiment deteriorated after the U.S. resumed airstrikes for the first time in about a month to target an Iranian mine-laying unit near the Strait of Hormuz.”

SamsungElectronics and SK hynix, the two stocks with the highest market capitalization on the KOSPI, are also down by about 1%. SamsungElectronics(005930)is trading at 252,500 won, down 4,500 won (1.75%) from the previous trading day. #SK hynix is trading at 1,624,000 won, down 29,000 won (1.75%).

Among other top-market-cap stocks, SKSQUARE(402340)(-1.07%), SamsungElectroMechanics(009150)(-1.69%), and Samsung Life Insurance(032830)(-1.77%) are also down. On the other hand, LG Energy Solution(373220)(0.54%), HyundaiMotor(005380)(0.25%), SAMSUNG BIOLOGICS(207940)(0.945), and KB Financial Group(105560)(0.64%) are showing slight gains.

At the same time, the KOSDAQ index is trading at 820.68, down 17.73 points (2.11%) from the previous trading day. The index opened at 821.67, down 16.74 points (2.00%) from the previous close, and has continued its downward trend.

By investor type, retail investors are net buyers of 344.2 billion won, while foreign and institutional investors are net sellers of 112.4 billion won and 226.4 billion won, respectively.

The top two KOSDAQ stocks by market capitalization are also trading lower. Alteogen Inc.(196170)is trading at 304,500 won, down 11,500 won (4.84%) from the previous session. ECOPRO CO., LTD(086520)is trading at 88,800 won, down 1,400 won (1.55%) from the previous trading day.

In addition, ECOPRO BM CO., LTD.(247540)(1.95%), Rainbow Robotics(277810)(-2.19%), JUSUNG ENGINEERING Co.,Ltd.(036930)(-1.07%), WONIK IPS Co.,Ltd.(240810)(-0.90%), and LEENO Industrial Inc(058470)(-0.15%) are among the decliners. On the other hand, EO Technics Co., Ltd.(039030)(3.14%), SIMMTECH Co., Ltd.(222800)(2.12%), and ROBOTIS(108490)(0.83%) are among the gainers.