The Korea Composite Stock Price Index (KOSPI) renewed its record high once again, thanks to simultaneous purchases by foreign investors and institutions.
According to the Korea Exchange and others on the 30th, as of 10:50 a.m. on this day, the KOSPI index was at 3,250.29, up 19.72 points (0.61%) from the previous session. The index started at 3,233.31, up 2.74 points (0.08%) from the previous session, and rose to 3,254.21 during the trading day, setting a new record high.
Foreign investors and institutions are driving the index's rise, with net purchases totaling 112.4 billion won and 93.8 billion won, respectively. They also engaged in simultaneous purchases the day before, leading to the recovery of the KOSPI index above the 3,230 mark at the closing price. Individuals are currently making net sales worth 235.3 billion won.
Despite concerns over U.S.-South Korea trade negotiations, the International Monetary Fund's (IMF) upward adjustment of its growth forecast for the Korean economy next year has boosted investor sentiment. The IMF lowered its forecast for this year's Korean economic growth from 1.0% to 0.8% but raised its forecast for next year from 1.4% to 1.8%.
The IMF noted, "With a supportive policy stance that includes two supplementary budgets, and the resolution of domestic political uncertainties, consumer and investment sentiments are expected to improve," adding, "A gradual recovery in the economy is set to commence in the second half of this year and continue into next year."
For the large-cap stocks within the KOSPI, most are showing gains. This is bolstered by foreign investors net purchasing 128.2 billion won worth of KOSPI large-cap stocks. In particular, Samsung Electronics is up more than 2%.
In addition, stocks of LG Energy Solution, Hyundai Motor Company, and Kia are also rising. Among the top 10 stocks by market capitalization, 7 are showing strength. However, SK hynix, Samsung Biologics, and Hanwha Aerospace stocks are experiencing weakness.
Han Ji-young, a researcher at Kiwoom Securities, said, "Despite the improvement in investor sentiment following the IMF's announcements, uncertainty regarding U.S.-South Korea negotiations and the upcoming Federal Open Market Committee (FOMC) meeting in July are limiting potential gains due to the current cautious sentiment."
At the same time, the KOSDAQ index recorded 808.65, up 4.20 points (0.52%) from the previous session. After starting at 804.76, up 0.31 points (0.04%) from the previous session, it expanded its gains. Foreign investors and individuals are making net purchases worth 16.4 billion won and 5.3 billion won, respectively.
In the KOSDAQ market, the performance of large-cap stocks is mixed. Stocks of Alteogen, ECOPRO BM, Ecopro, and Rainbow Robotics are strong, while stocks of Peptron, HLB, PharmaResearch, and Sam Chun Dang Pharm are weak.