The KOSPI index, which opened lower on the 12th, is repeatedly moving up and down around the 5,600 level. Although there were concerns that volatility would expand as tensions between the United States and Iran resurfaced overnight and as the so-called "quadruple witching day," when futures and options on stock indexes and single stocks all expire on the same day, arrived, it is moving within a flat range.
As of 11:35 a.m., the KOSPI index is trading at 5,559.63, down 50.32 (0.9%) from the previous trading day. The index opened lower at 5,567.65, turned higher around 10 a.m. on individual buying during the session, but turned lower again on foreign selling.
Foreign investors are net sellers of 984.7 billion won. Following net sales of 200 billion won the previous day, foreign investors are also selling today. Individuals are net buyers of 994 billion won. Among institutions, long-term investors such as the National Pension Service and investment trusts are net buyers of 105.8 billion won and 46.6 billion won, respectively, while financial investment, which reflects individual exchange-traded fund (ETF) flows, is a net seller of 298.5 billion won.
Although the New York stock market ended mixed as tensions between the United States and Iran resurfaced overnight, the impact on the domestic stock market appears limited. Overnight, news emerged that a Thai-flagged cargo ship was attacked by Iran's Islamic Revolutionary Guard Corps in the Strait of Hormuz.
The impact of "quadruple witching day" also appears limited. Quadruple witching day is when the expiration dates of stock index futures and options and single-stock futures and options coincide, and program trading by institutions and foreign investors tends to concentrate, often causing sharp swings in the index and increased volatility.
Oil refiners are strong intraday as oil prices surge. POSCO International is jumping 4%, while S-oil (2.18%) and SK Innovation (0.67%) are also strong. According to the New York Mercantile Exchange (NYMEX), April West Texas Intermediate (WTI) crude futures are trading above $94, up more than 7%. That contrasts with the more than 11% plunge at the close on the 10th (local time).
Investor sentiment also flocked to shipbuilders, where transportation costs are expected to spike due to the Strait of Hormuz disruption. Samsung Heavy Industries is jumping 5%, while Hanwha Ocean (1.05%) and HD Hyundai Heavy Industries (1.53%) are also strong.
At the same time, the KOSDAQ index is trading at 1,133.74, down 3.09 (0.27%) from the previous trading day. The index, which opened at 1,132.0, is repeatedly moving up and down during the session.