On May 22, the KOSPI showed signs of stabilization following a significant surge the previous day, while the KOSDAQ soared over 5%, prompting the activation of a buy sidecar for the second consecutive day due to strong net buying from foreign and institutional investors. Analysts suggest that the focus is shifting from large-cap semiconductor stocks to a broader rotation that includes secondary batteries, biotechnology, and small to mid-cap growth stocks.
According to the Korea Exchange, as of 2:34 PM, the KOSDAQ index rose by 57.72 points (5.22%) to reach 1163.69.
The index opened at 1119.43, up 13.46 points (1.22%) from the previous trading day, and quickly expanded its gains.
At 9:33 AM, a buy sidecar was triggered in the KOSDAQ market, halting program buy orders for five minutes. This follows the simultaneous activation of buy sidecars in both the KOSDAQ and KOSPI markets the day before, marking the second day of such measures in the KOSDAQ.
In the KOSDAQ market, foreign and institutional investors net purchased 663.6 billion won and 300.1 billion won, respectively, driving the index higher. Meanwhile, individual investors net sold 934.9 billion won.
Among the top market capitalization stocks, EcoPro BM (up 9.74%), EcoPro (up 11.56%), Alteogen (up 3.56%), Rainbow Robotics (up 2.69%), and JUSUNG Engineering (up 22.84%) saw significant increases.
Conversely, the KOSPI index recorded a gain of 49.32 points (0.63%) to reach 7864.91 at the same time. The index initially recovered above 7880 but later gave back some gains, maintaining a flat trend.
In the KOSPI market, individual and institutional investors net bought 1.4 trillion won and 880.7 billion won, respectively, while foreign investors net sold 2.3682 trillion won.
Among the top stocks by market capitalization, SK Hynix (up 0.26%), SK Square (up 0.93%), Samsung Electro-Mechanics (up 13.12%), Samsung Life Insurance (up 3.38%), and Doosan Enerbility (up 3.09%) were on the rise, while Samsung Electronics (down 1.75%), Hyundai Motor (down 0.90%), and LG Energy Solution (down 1.50%) faced declines.
Market analysts note that the recent focus on large-cap semiconductor stocks is shifting towards a rotation into small and mid-cap growth stocks.
Indeed, foreign investors have been net buyers in the KOSDAQ market for six consecutive trading days since May 15. In contrast, the KOSPI market has seen ongoing profit-taking sales this month.
Kang Jin-hyuk, a researcher at Shinhan Investment Corp, stated, "The launch of the public participation growth fund sold out within 30 minutes, significantly improving investor sentiment towards growth stocks. Expectations for capital inflows into advanced industries are rising, leading the KOSDAQ to significantly outperform the KOSPI."
He added, "EcoPro BM surged to reclaim the top market capitalization, and with the upcoming release of abstracts from the American Society of Clinical Oncology (ASCO), biotech stocks are also showing strength."
The public participation growth fund, which began selling today, reportedly attracted significant investment demand, with some brokerage firms experiencing early exhaustion of their quotas shortly after sales commenced.
* This article has been translated by AI.
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