KOSPI Falls More Than 3% on Heavy Foreign Selling [Morning Market Report]

[The Financial News] The Korea Composite Stock Price Index (KOSPI) was down 3% on the 2nd as foreign and institutional investors sold heavily.
As of 11:10 a.m. that day, the KOSPI stood at 8,507.46, down 280.92 points, or 3.26%, from the previous trading session.
The index opened at 8,883.19, up 94.81 points, or 1.08%, from the previous close, and briefly broke above the 8,900 level for the first time in history before quickly turning lower.
Market experts advised investors to keep a close eye on volatility in semiconductor stocks for the time being.
Min Kyu Kim, a researcher at KB Securities, said, "The rise in Korean semiconductor stock prices has gone beyond levels never seen in history." He added, "Bubbles extend the life of leading stocks." He explained that both earnings and retail buying, which could further fuel the bubble, remain strong, so he believes there is still more upside for the semiconductor leaders. However, he cautioned that investors should keep in mind that the market is not easy when it comes to additional gains, and volatility could be high.
In the Korea Exchange Main Board Market, foreigners have been net sellers of 378.86 billion won, dragging the index lower. Institutions are also net sellers of 175.8 billion won.
Retail investors, meanwhile, have been net buyers of 396.82 billion won.
Among the 14 largest stocks by market capitalization, all were lower except Samsung Life Insurance, which rose 5%.
Samsung Electronics, the largest company by market capitalization, was trading at 348,750 won, down 0.07% from the previous session. SK hynix, the second-largest stock, was at 2,272,000 won, down 3.85%.
The KOSDAQ was trading at 1,010.75, down 39.28 points, or 3.74%, from the previous session. The index opened at 1,044.89, down 5.14 points, or 0.49%, on the day.

[email protected] Kim Hyun-jung Reporter