On the 11th, the KOSPI opened down more than 3%, falling to the 6,800 level. As geopolitical risks intensified, international oil prices and U.S. Government Bonds yields rose together, and the decline in New York stocks the previous day appears to have weakened investor sentiment in the domestic market.
As of 9:02 a.m., the KOSPI was trading at 6,811.33, down 222.59 points (3.16%) from the previous session. The index opened at 6,802.50, down 231.42 points (3.29%) from the previous close, and has continued to fall.
In the main board, foreigners and institutions net sold about 200 billion won and about 400 billion won, respectively, in early trading, pressuring the index. Individuals alone are net buying more than 600 billion won and absorbing supply, but it appears insufficient to stem the combined selling by foreigners and institutions.
The three major U.S. stock indexes finished lower for a fourth straight session the previous day. On the 10th (local time) at the New York Stock Exchange, the Dow Jones Industrial Average closed at 52,064.10, down 316.56 points (0.60%) from the previous day.
The Standard & Poor's (S&P) 500 fell 44.66 points (0.58%) to 7,591.70, and the tech-heavy Nasdaq composite closed down 171.62 points (0.65%) at 26,081.72.
Amid concerns that geopolitical tensions between the United States and Iran will be prolonged, West Texas Intermediate (WTI) crude topped $100 a barrel, stoking inflation pressure.
The yield on the U.S. 30-year Government Bonds jumped to 5.360%, hitting a record high in 22 years since 2004, rekindling market-wide worries that high rates will persist.
As New York stocks fell across the board the previous day, large-cap domestic semiconductor stocks are also declining. Samsung Electronics(005930) was trading at 258,500 won, down 3.90% from the previous session, and SK hynix(000660) was also trading down 4.16% at 1,776,000 won, deepening early losses.
Most of the top market-cap stocks on the main board are weak, including LG Energy Solution (-2.19%), Hyundai Motor (-2.70%), Samsung Biologics (-1.48%), and Samsung Life Insurance (-2.10%).
The KOSDAQ is also unable to avoid a sharp drop. The KOSDAQ opened at 816.91, down 20.01 points (2.39%) from the previous session, and has remained weak in early trading.
On the KOSDAQ, foreigners and institutions are net selling 14 billion won and 11 billion won, respectively, while only individuals are net buying around 28 billion won.
Among top market-cap names, Alteogen(196170) (-2.71%), EcoPro (-3.57%), and EcoPro BM (-4.13%) are lower, and along with secondary-battery and biotech names, semiconductor equipment and components stocks such as Jusung Engineering(036930) (-3.62%), Wonik IPS (-4.84%), EO Technics (-3.19%), and LEENO Industrial (-3.90%) are also declining.