On the 20th, the domestic stock market started to rise due to the influence of the solid New York stock market despite negative factors from the downgrade of credit ratings. However, lacking clear upward momentum and as foreigners switched to net selling during the day, it ultimately closed weaker. Due to the net buying by institutions and individuals, the KOSPI barely maintained the 2600 level.
On that day, the KOSPI index finished at 2601.80 in the securities market, down 1.62 points (0.06%) from the previous day. Starting at levels above 2620, the KOSPI index closed lower due to foreigners switching to 'sell' during the day.
While foreigners showed a net selling advantage of 114.3 billion won, individual and institutional investors bought 20.3 billion won and 61 billion won worth of stocks, respectively, helping to defend the 2600 level.
Among the top market capitalization stocks in the KOSPI, semiconductor stocks like SK hynix (1.3%) and Samsung Electronics (0.18%) showed strength. In particular, SK hynix, which had been shaky the day before, recovered to '200,000' thanks to comments from Jensen Huang, CEO of NVIDIA, stating, 'We will strengthen the artificial intelligence (AI) ecosystem.'
In the financial sector, KB Financial (1.37%), Shinhan Financial Group (3.26%), Hana Financial Group (1.81%), and Woori Financial Group (0.9%) exhibited an upward trend due to expectations of policy benefits and strong performance.
In contrast, stocks like Samsung Biologics (-0.1%), Hyundai Motor (-0.79%), Hanwha Aerospace (-2.86%), and HD Hyundai Heavy Industries (-6.26%) closed at lower prices compared to the previous day.
The KOSDAQ index closed at 715.55, up 1.8 points (0.25%) from the previous day. In the KOSDAQ market, foreign and institutional investors were net buyers of 51.5 billion won and 58.2 billion won, respectively, driving the index. Individuals showed a net selling advantage of 73.9 billion won.
Among the top market capitalization stocks in the KOSDAQ, some bio stocks like Peptron (3.31%), HUGEL (1.03%), and LigaChem Biosciences (7.5%) showed strength. In contrast, Alteogen (-0.63%), HLB (-1.12%), and Rainbow Robotics (-0.18%) traded at lower prices than the previous day.
On that day, the domestic stock market showed significant differentiation in stocks depending on domestic and foreign policy and industry issues. News that the U.S. Congress is pushing for an early termination of the tax credit for electric vehicles and clean energy under the Inflation Reduction Act (IRA) acted negatively on domestic secondary battery and solar industries' stock prices.
The three major domestic secondary battery companies, LG Energy Solution (-4.12%), Samsung SDI (-4.66%), and SK Innovation (-3.65%), all saw their stock prices plummet. In the KOSDAQ market, companies like ECOPRO BM (-5.76%) and Ecopro (-6.58%) also closed weaker.
On the other hand, the solar energy-related sector, linked to the clean energy tax credit, could not escape sharp declines, with HD Hyundai Energy Solutions (-7.4%) and Hanwha Solutions (-6.79%).
In contrast, the strong performance of the nuclear sector stood out during the day. The news that Germany is reversing its anti-nuclear policy and the Czech Republic's power authority appealed to the Supreme Court against a lower court's decision that halted new nuclear construction contracts with Korea Hydro & Nuclear Power (KHNP) revived investor sentiment.
Nuclear company Doosan Enerbility (7.51%) reached a new high for the first time in 12 years since 2013, boosted by expectations for gas turbine orders for U.S. data centers in the second half of the year. Additionally, BHI (3.78%) and KEPCO E&C (0.48%) also closed stronger.
Lee Kyung-min, a researcher at DAISHIN SECURITIES, noted, 'In addition to the U.S. credit rating downgrade issue, individual industry negative issues such as poor Chinese economic indicators, secondary batteries, and renewable energy are appearing as factors weighing down the KOSPI amid a clear absence of momentum.'
As of 3:30 p.m. on that day, the exchange rate for the won against the dollar in the Seoul foreign exchange market recorded 1392.4 won, down 5.4 won from the previous trading day.