On the 25th, the KOSPI opened lower but trimmed losses intraday to reclaim the 6,550 level. Samsung Electronics also recovered the 250,000-won level it gave up early in the session. Still, foreigners are net selling more than 2 trillion won on the main bourse, capping the index's rebound.
As of 11:44 a.m., the KOSPI was trading at 6,564.6, down 132.36 points (1.98%) from the previous session. After opening at 6,535.93, down 2.40%, the KOSPI at one point fell to 6,408.80 intraday, but bargain hunting flowed in afterward, recouping a significant portion of the losses.
The decline in large-cap semiconductor stocks also eased somewhat from early trading. Samsung Electronics, which at one point lost the 250,000-won level, is trading at 250,000 won, down 7,000 won (2.72%) from the previous session. Samsung Electronics(1P)(005935), buoyed by expectations of treasury share retirement, is up 0.53% unlike the common shares.
SK hynix is at 1,589,000 won, down 82,000 won (4.91%) from the previous session. Compared with the drop of more than 5% early in the session, it has pared some losses.
With semiconductor stocks weak, rotation is flowing into other large caps. Hanwha(000880), which completed a spin-off and relisted on this day, is surging nearly 20%. Hyundai Engineering & Construction(000720), which disclosed it completed the basic design work for a large U.S. nuclear power plant signed with U.S. energy company Fermi America, is also strong, up in the 10% range. KEPCO E&C, grouped as a nuclear power plant stock, is up 8%, and Doosan Enerbility is up in the 4% range.
However, heavy foreign selling is limiting the index rebound. Foreigners are net selling 2.265 trillion won on the main bourse. Individuals and institutions are net buying 1.13 trillion won and 399 billion won, respectively, absorbing supply, but it is not enough to fully offset foreign selling.
The KOSDAQ is also extending losses. At the same time, the KOSDAQ index is at 799.16, down 14.17 points (1.74%) from the previous session. After a slight lower open, it dipped below the 790 level intraday but later recovered part of the losses.
On the KOSDAQ, large-cap bio and secondary battery stocks are weak. Alteogen(196170) is down 6.55%, and EcoPro is down 5.57%. In contrast, some semiconductor equipment names such as Jusung Engineering (2.83%) and SIMMTECH (2.85%) have turned higher, supporting the lower end of the index.
With foreigners and institutions net selling 55 billion won and 73 billion won, respectively, individuals alone are net buying 140 billion won.
Kang Jin-hyeok, an analyst at Shinhan Investment & Securities, said, "The market opened lower on weak semiconductor stocks, but rotation into large caps afterward is prompting the KOSPI to attempt to regain the 6,600 level," and added, "The KOSDAQ is giving back the prior day's gains as flows leave key sectors amid weakness in KOSPI semiconductor stocks."