The KOSPI opened higher but wobbled under foreign selling. With U.S. stocks rising across the board the previous day led by tech, early gains initially widened, but as foreigners unloaded large amounts to take profits, the index has been moving around flat.
On the 30th, the KOSPI started trading at 8,416.70, up 22.05 points (0.26%) from the previous session. As early gains widened, the index briefly reclaimed the 8,500 level. However, with foreigners turning net sellers and the net buying by pension funds also shrinking, the index has been fluctuating around flat.
In the early session on the main board, combined foreign net selling on the Korea Exchange (KRX) and NEXTRADE (NXT) exceeds 1 trillion won. Household funds continue to flow in, and institutions, including pension funds, are net buyers, but that has not been enough to support the index. As the pension funds' net buying has decreased, the index's gains have also narrowed.
U.S. stocks in New York all closed higher the previous day. In particular, the Nasdaq jumped more than 2%. Investor sentiment improved on news that the United States and Iran halted clashes in the Strait of Hormuz, and tech shares especially strengthened.
After a U.S. investment bank issued an analysis highlighting the stability of the long-term supply agreement (SCA) signed by Micron Technology, Micron's stock rose. Alphabet gained on expectations of fund inflows from its inclusion in the Dow.
Also, the U.S. Supreme Court recognized that Lisa Cook would retain her position on the Federal Reserve Board during litigation over the Donald Trump administration's dismissal of her. The ruling, seen as affirming the independence of the Central Bank, influenced investor sentiment.
Samsung Electronics rose 2% early in the session, but the gain narrowed sharply by late morning. SK hynix turned lower. Financials are strong today. KB Financial, Shinhan Financial Group and Hana Financial Group are all rising. In contrast, LG Energy Solution and Samsung SDI, which surged the previous day, are falling sharply.
The KOSDAQ, which had soared the previous day, opened higher today. It seemed to turn lower early on, then rebounded, and is up around 1% near the 930 level in the early session.