The KOSPI index set another record right after the open on the back of gains in U.S. tech stocks but ended lower as profit-taking emerged. After hitting fresh all-time highs for days, the KOSPI dipped slightly, taking a breather.
On the 19th, the KOSPI closed at 3,445.24, down 16.06 points (0.46%) from the previous trading day. The index started at 3,461.23, down 0.07 points (0.00%) from the day before, paused briefly, then turned higher to as much as 3,467.89. It again broke the intraday all-time high (3,461.30) set the previous day.
However, as foreigners and institutions turned net sellers together, the index reversed lower. In the main board, foreigners and institutional investors posted net sales of 309.2 billion won and 335.5 billion won, respectively. Only retail investors were net buyers at 534.3 billion won. Foreigners also showed a selling advantage of 245.1 billion won in KOSPI 200 futures.
In the afternoon, as Japanese stocks fell, the KOSPI widened its losses. The Bank of Japan (BOJ), Japan's Central Bank, kept its policy rate unchanged for the fifth straight meeting. With Japan's market lower along with China's Shanghai Composite, Hong Kong's Hang Seng Index, Taiwan's Taiex, and Vietnam's Ho Chi Minh VN Index, Asian stocks were broadly weak.
Overnight, New York stocks rose across the three major indexes, led by techs, on news that Nvidia would invest in Intel. Intel and Nvidia gained 22.77% and 3.49%, respectively, while the Philadelphia Semiconductor Index, comprised of artificial intelligence (AI) and chip-related names, climbed 3.60%.
But Samsung Electronics, a major domestic chip stock, fell. After reclaiming 80,000 won for the first time in 13 months, Samsung Electronics dropped 800 won (0.99%) on the day, returning to the 70,000-won level. SK hynix, which had surged sharply with an 11-session winning streak, moved around flat intraday and finished at the same 353,000 won as the previous day. Meanwhile, semiconductor equipment names such as PSK and HPSP on the KOSDAQ rose.
Some experts also said domestic chip stocks have entered overbought territory. Lee Jae-won, an analyst at Shinhan Investment & Securities, noted, "Samsung Electronics and Hynix both exceeded the relative strength index (RSI) level of 70, prompting profit-taking due to entry into a technical overbought zone."
The auto sector was pressured by guidance cuts due to tariff effects disclosed at the "CEO Investor Day" event held the day before. Hyundai Motor, Hyundai Mobis, Hanon Systems, and Hyundai GLOVIS ended weaker.
By contrast, robotics continued to be strong. With expectations that ROBOTIS will supply to OpenAI and on news that the government will push to build an artificial intelligence (AI) factory program, Clobot, HIGEN RNM, and Rainbow Robotics all finished higher.
Biotech stocks, which had been left out of the recent rally among rate-sensitive growth sectors, saw a warm tailwind spread on the day to Hanmi Pharmaceutical and SK Biopharmaceuticals on the main board and to ABL Bio and LigaChem Biosciences on the KOSDAQ.
Stablecoin-related stocks such as Danal and NHN KCP on the KOSDAQ and Kakao Pay on the main board closed strong. With the "Korea Blockchain Week" event set to be held domestically next week, industry expectations grew on news that Ripple is preparing to enter the domestic crypto asset custody business.
The KOSDAQ index closed at 863.11, up 6.00 points (0.70%) from the previous trading day. Foreigners and institutional investors net bought 209.8 billion won and 79.2 billion won, respectively, driving the index higher. Retail investors alone dumped 256.1 billion won.
As hacking incidents continued at major domestic telecom companies and Lotte Card, and President Lee Jae-myung ordered the preparation of a fundamental, comprehensive response, cybersecurity stocks such as Genians and Hancomwith surged.
In the Seoul foreign exchange market, the weekly transaction closing price of the won against the U.S. dollar (as of 3:30 p.m.) was tallied at 1,393.6 won, up 5.8 won from the previous day.