With a second cease-fire negotiation between the United States and Iran expected to take place this weekend, the KOSPI slipped slightly on the 17th. Investors stayed on the sidelines ahead of a major event that could significantly affect financial markets. As foreign investors were net sellers, weakness was pronounced among large-caps with big market capitalizations.
The KOSPI ended trading at 6,191.92, down 34.13 points (0.55%) from the previous session. The day before, it rose to the 6,220 level for the first time since the Middle East war broke out, but it gave up the 6,200 level in just one day.
Foreign investors dumped more than 2 trillion won worth of shares across the market, dragging the index lower. Foreigners posted a net sell of 2.0355 trillion won on the main board. Institutions were net buyers of 150 billion won, while individuals had a buying advantage of 1.5 trillion won.
Most top market-cap stocks fell. In particular, as expectations for cease-fire talks grew, Hanwha Aerospace, a defense stock, plunged more than 6%.
Elsewhere, SK hynix (-2.34%), Doosan Enerbility (-2.08%), SK Square (-1.16%), Samsung Biologics (-0.93%), and Samsung Electronics (-0.69%) declined. In contrast, Kia (0.82%), Hyundai Motor (0.75%), and LG Energy Solution (0.48%) inched up.
In contrast, the KOSDAQ ended trading at 1,170.04, up 7.07 points (0.61%) from the previous session. Although the KOSDAQ rose slightly, there was no standout buying force leading the market. A wait-and-see mood was also strong on the KOSDAQ.
Top KOSDAQ market-cap names were mixed. EcoPro and EcoPro BM rose 1.81% and 1.46%, respectively, and LEENO Industrial closed up 0.26%. In contrast, Sam Chun Dang Pharm (-3.86%), Kolon TissueGene (-1.75%), HLB (-1.57%), ABL Bio (-1.46%), Alteogen (-0.95%), LigaChem Biosciences (-0.30%), and Rainbow Robotics (-0.16%) fell.
Kang Jin-hyeok, an analyst at Shinhan Investment & Securities, said, "With the second round of negotiations between the United States and Iran set for this weekend, risk-off sentiment has flowed in and the KOSPI is taking a breather," and added, "The KOSDAQ was weak across healthcare, but moved around flat on strength in secondary batteries."