KOSPI starts strong with a gain of over 1%... Attempting to recover the 4100 level due to simultaneous buying by foreign investors and institutions.

Source: BlockMedia Original Title: [Market Overview] KOSPI rises over 1% as foreign and institutional investors buy simultaneously… Attempts to recover the 4100 level Original Link: https://www.blockmedia.co.kr/archives/1023153 On the 22nd, the KOSPI is attempting to recover the 4100 level, rising over 1% in early trading thanks to simultaneous buying from foreign investors and institutions. The KOSDAQ also started strong, buoyed by individual buying.

According to the Korea Exchange, as of 9:15 AM on this day, the KOSPI index recorded an increase of 66.24 points(1.65%) to 4085.89 compared to the previous trading day. The KOSPI opened at 4096.26, which is an increase of 75.71 points(1.88%) from the previous trading day(4020.55).

KOSPI starts rising led by large-cap semiconductors… automotive stocks mixed

In the securities market, foreign and institutional investors have bought 170.3 billion won and 359.6 billion won respectively, while individuals have net sold 524 billion won.

By industry, the rising sectors are showing dominance. The startup investment sector has risen by 4.03% compared to the previous trading day, demonstrating the strongest momentum, while the semiconductor and semiconductor equipment sector has also increased by 3.57%, leading the index rebound. In this sector, among a total of 167 stocks, 148 stocks have risen, indicating that buying pressure is spreading across the sector.

The healthcare technology sector rose by 2.25%, while the electrical equipment ( +2.23% ) and conglomerates ( +2.22% ) sectors also show an upward trend in the 2% range, indicating a strong performance together. There are almost no declining stocks in these sectors.

On the other hand, some sectors are weak. The electronics sector fell by 0.71%, while the automotive( sector decreased by 0.76%) and the wireless communication services( sector is also fluctuating in a slightly bearish range with a decrease of 0.92%). The road and railway transportation sector is down 2.17%, showing the most sluggish trend in early trading.

In the early stages, the KOSPI's top market capitalization stocks are showing strength, centered around large-cap semiconductor stocks. Samsung Electronics is trading at 109,750 won, up 3,450 won(3.25%) from the previous trading day, maintaining its position as the number one with a market capitalization of approximately 650 trillion won. SK Hynix is also trading at 572,000 won, up 25,000 won(4.57%), expanding its market capitalization to approximately 416 trillion won. Samsung Electronics preferred shares are also trading at 85,500 won, up 2,200 won(2.64%).

Samsung Biologics, a large-cap bio stock, is trading at 1.77 million won, up 37,000 won( by 2.14%), with a market capitalization of approximately 819 trillion won. LG Energy Solution is trading at 382,000 won, up 3,000 won( by 0.79%), maintaining a market capitalization of about 894 trillion won in the upper tier. Doosan Enerbility is also trading at 79,200 won, up 1,800 won( by 2.33%).

On the other hand, automobile stocks are relatively mixed. Hyundai Motor is trading at 287,500 won, down 1,000 won (0.35%), while Kia is trading at 120,600 won, down 400 won (0.33%). Financial stock KB Financial started in a stable range at 125,200 won.

Signals of a rebound after AI adjustments… Easing of negative sentiment

A researcher from a securities firm said, “Recently, the stock market has been exposed to high volatility while digesting large events for two consecutive weeks,” adding, “The performance announcements of major U.S. IT companies fell short of market expectations, leading to a sharp decline centered around AI( stocks, and after the December Federal Open Market Committee) (FOMC) meeting, macro uncertainty regarding next year's Federal Reserve interest rate path continued, resulting in a prolonged environment where negative factors predominated.”

However, a researcher pointed out that signs of change in the market atmosphere have emerged late last week. Following the announcement of 'super surprise' earnings that significantly exceeded market expectations by major semiconductor companies, there is an analysis that the overall negative perception of the stock market is being somewhat alleviated as the November Consumer Price Index ( CPI ) does not further heighten inflation uncertainty.

Last Friday, the U.S. stock market showed strength in AI-related stocks, driven by semiconductor companies hitting new highs, expectations for AI chip sales, and news of contract completions by major IT companies. It is also notable that this rebound trend spread across the entire AI value chain, including memory semiconductors, cloud infrastructure, and nuclear power-related stocks.

A researcher said, “Since we have already digested major events such as the December FOMC and November employment and price indicators, the impact of individual indicators on the stock market is likely to be limited.” He predicted that “the market's focus will shift more towards AI-related news flow and individual stock issues rather than indicators.”

KOSDAQ opens strong…dividend and policy expectations mixed with supply and demand

At the same time, the KOSDAQ index is pointing to 923.85, up 8.90 points (0.97%) from the previous trading day. The index started trading at 923.97, up 8.70 points (0.95%) from the previous trading day of 915.27.

Individuals are net buying 83.4 billion won in the KOSDAQ market. In contrast, foreign and institutional investors are net selling 42.5 billion won and 8.2 billion won, respectively.

The top stocks by market capitalization on the KOSDAQ are showing mixed trends, generally remaining in a stable range. Major biotech stocks are showing a mixed trend with slight declines, while robotics-related stocks are experiencing a slight increase.

A researcher stated, “The domestic stock market is likely to see inflows of year-end dividend demand ahead of the dividend record date on the 26th, which may allow high-dividend and dividend growth stocks such as banks, financial holding companies, securities, and automobiles to show relatively favorable trends.” He also mentioned, “In addition, the recently announced policies to invigorate the KOSDAQ will serve as a point of observation to gauge the price elasticity and supply-demand improvement of large-cap KOSDAQ stocks, particularly in the bio and secondary battery sectors, at least in the short term.”

In the Seoul foreign exchange market, the won-dollar exchange rate started at 1,476.6 won, up 0.3 won from the previous trading day's weekly closing price of 1,476.3 won.