On the 1st, the domestic stock market closed higher, fueled by expectations for the amendment of the Commercial Act. On that day, the KOSPI index rose above the 3100 level, setting a new record high. Holding company stocks showed strong gains across the board.
The previous day, the U.S. stock market saw a rally, marking an all-time high. Expectations are growing for progress in trade negotiations as the U.S. and Canada resume talks. The domestic stock market also demonstrated an upward trend.
The KOSPI index closed at 3089.65 that day, up 17.95 points (0.58%) compared to the previous transaction day. In the early part of the day, the index surged over 2%, recording 3133.52, surpassing last month's record high (3129.09) after four days. This is the highest level in about three years and nine months since September 2021 (3134.46). However, as profit-taking transactions occurred during the session, the extent of the increase diminished.
In the liquid securities market, institutions and foreigners showed net buying. Institutions purchased a net of 550 billion won, while foreigners bought a net of 100 billion won, lifting the stock market. Individuals sold off a net of 640 billion won. Foreigners turned to net buying in the futures market after five trading days.
That day, the share prices of holding companies were strong across the board. The People Power Party shifted from its previous opposition stance to proactively review the amendment to the Commercial Act that includes 'shareholder loyalty obligations,' increasing the likelihood that the amendment will be processed in the plenary session on the 3rd of this month.
Hanwha (15.38%), SK (9.54%), LS (7.11%), DL (6.55%), and CJ (2.8%) all saw their stock prices rise. HS HYOSUNG experienced a 29.93% jump compared to the previous day, closing at the upper limit of the daily price limit.
Despite the impact of tariffs, automobile exports broke the all-time record in June, adding positive momentum to the stock market. The export amount for June was $6.34 billion, marking a 2.3% increase compared to the previous year. Exports to the U.S. decreased, but increased shipments to Europe compensated for the sluggish American market.
The stock prices of major car manufacturers such as Hyundai (3.19%) and Kia (1.86%) rose. At the same time, parts suppliers such as HL Mando (2.59%) and SL Corporation (1.76%) also closed higher.
On the contrary, despite record semiconductor exports, profit-taking sales led to a decline in the sector. SK hynix fell by 2.23%, and HANMI Semiconductor (-5.2%), Techwing (-3.15%), and other recently optimistic stocks related to high bandwidth memory (HBM) saw profit-taking sales.
Lee Kyung-min, a research analyst at DAISHIN SECURITIES, noted, "While the KOSPI has continued to rebound for two consecutive days, intraday fluctuations and sector rotations have accelerated. This signals a short-term peak, indicating that investors should prepare for increased volatility rather than further gains." He added, "Risk management is necessary above the 3100 level."
The KOSDAQ index closed at 783.67, up 2.17 points (0.28%) compared to the previous transaction day. In the KOSDAQ market, institutions alone implemented a buying strategy worth 58 billion won. In contrast, foreigners and individuals showed selling positions of 32 billion won and 26 billion won, respectively. Foreigners have been net selling in the KOSDAQ market for five consecutive trading days.
Among the top market capitalization stocks on the KOSDAQ, HLB (2.04%), Ecopro (1.39%), Peptron (3.56%), and SME (2.06%) closed higher.
Meanwhile, export items such as cosmetics and beauty devices, which had risen ahead of the June export and import patterns announcement, faced corrections due to profit-taking sales. Companies like HUGEL (-6.19%), PharmaResearch (-3.34%), and CLASSYS (-1.28%) saw their stock prices decrease compared to the previous day.
As for the exchange rate between the U.S. dollar and the won, it stood at 1355.9, up 5.9 won compared to the previous day at the market closing time, failing to break out of the 1350 won level. This is interpreted as a response to U.S. Treasury rates declining after U.S. Treasury Secretary Scott Bessent expressed opposition to expanding long-term issuance.