South Korean stocks opened sharply higher on the 27th but trimmed gains by mid-morning as foreign and institutional investors sold shares. The KOSPI index opened at 6806.27, up 115.65 points or 1.73%, but retreated to 6734.86 by 9:39 AM, reflecting a smaller gain of 44.24 points or 0.66%, according to Korea Exchange data. The pullback occurred as market participants adopted a wait-and-see stance ahead of major events this week, including earnings reports from Samsung Electronics and SK Hynix, the US Federal Open Market Committee meeting, and results from major US tech companies. Foreigners sold 771.6 billion won and institutions offloaded 119.7 billion won, while individual investors purchased 868.9 billion won during the morning session.
KOSPI Retreats from Opening High as Foreigners and Institutions Sell
The KOSPI index opened at 6806.27 on the 27th, up 115.65 points or 1.73% from the previous trading day, but gave back some gains to trade at 6734.86 by 9:39 AM, according to Korea Exchange. The index showed a reduced gain of 44.24 points or 0.66% at that time. In the securities market, individual investors net purchased 868.9 billion won, while foreigners and institutions net sold 771.6 billion won and 119.7 billion won respectively.
The KOSDAQ index rose 23.55 points or 3.15% to 771.77 at the same time. The index opened at 760.54, up 12.32 points or 1.65%. In the KOSDAQ market, foreigners and institutions net bought 27.6 billion won and 58.3 billion won respectively, while individuals net sold 84.8 billion won.
Samsung Electronics and SK Hynix Lead Gains Among Large-Cap Stocks
Among large-cap stocks, Samsung Electronics traded at 252,000 won, up 3,000 won or 1.20%, while SK Hynix rose 6,000 won or 0.34% to 1,765,000 won. Hyundai Motor gained 1.37%, LG Energy Solution climbed 1.52%, and Samsung Biologics advanced 2.70%. SK Square declined 3.07%, Samsung Electro-Mechanics fell 0.15%, Samsung Life Insurance dropped 2.36%, and KB Financial decreased 0.23%.
In the KOSDAQ market, Alteogen rose 5.99%, EcoPro gained 3.46%, EcoPro BM advanced 2.31%, Rainbow Robotics climbed 5.97%, Jusung Engineering increased 5.32%, Lino Industrial gained 1.46%, Wonik IPS rose 1.00%, and ABL Bio advanced 3.31%. HLB declined 1.12%.
Analyst Sees Mid-Term Bottom Despite Volatility Ahead of Major Events
Han Ji-young, a researcher at Kiwoom Securities, stated that the domestic stock market continues to experience volatility beyond the normal range, but the premise that it has entered the mid-term bottom in terms of valuation and technical aspects has not been undermined. Han said the key is how much rebound energy can be secured through major events this week, including Samsung Electronics and SK Hynix earnings, US big tech earnings, and the July FOMC meeting.
Han added that increased volatility is inevitable as the market digests domestic and foreign events simultaneously toward the middle of the week, but the current phase has higher upside potential than downside risk in terms of price and valuation. Han recommended maintaining existing positions centered on leading stocks or responding with split purchases during corrections.
FAQ
What happened to South Korean stocks on the 27th?
The KOSPI index opened at 6806.27, up 115.65 points or 1.73%, but retreated to 6734.86 by 9:39 AM, showing a reduced gain of 44.24 points or 0.66%. Foreigners sold 771.6 billion won and institutions sold 119.7 billion won, while individuals bought 868.9 billion won.
Why did the KOSPI index trim its opening gains?
Market participants adopted a wait-and-see stance ahead of major events this week, including earnings reports from Samsung Electronics and SK Hynix, the US Federal Open Market Committee meeting, and results from major US tech companies, according to the source article.
How did Samsung Electronics and SK Hynix perform on the 27th?
Samsung Electronics traded at 252,000 won, up 3,000 won or 1.20%, while SK Hynix rose 6,000 won or 0.34% to 1,765,000 won during the morning session on the 27th.
