On June 17, market participants will be watching whether the KOSPI will maintain its preference for risk assets following the U.S.-Iran peace agreement or take a breather ahead of the Federal Open Market Committee (FOMC) meeting.
On June 16, U.S. stock markets closed mixed. The Dow Jones Industrial Average rose 0.64%, reaching a record high, while the S&P 500 and Nasdaq Composite fell 0.57% and 1.15%, respectively.
Notably, semiconductor stocks, which had been on a strong upward trend, experienced a broad correction. Micron Technology dropped 6.22%, followed by SanDisk at 5.52%, Intel at 8.45%, Marvell at 9.92%, and AMD at 7.30%. Consequently, the Philadelphia Semiconductor Index plummeted 5.71%. The Russell 2000 and Dow Transportation indices also closed down by 0.87% and 0.70%, respectively.
However, the decline in international oil prices is seen as a positive factor for the domestic market. On the ICE Futures Exchange, August Brent crude settled at $78.96 per barrel, down 5.1%, marking the first time it has fallen below $80 since the outbreak of war in March.
While short-term profit-taking pressure on semiconductor stocks is expected in the domestic market, analysts predict that the declines will be limited. The KOSPI closed at 8726.60 on June 16, up 180.62 points (2.11%), marking its fourth consecutive day of gains.
As of 8:08 a.m., in the NXT pre-market, Samsung Electronics was trading at 333,500 won, down 2.77%, while SK Hynix fell 1.81% to 2,339,000 won.
Han Ji-young, a researcher at Kiwoom Securities, stated, "Today, the domestic market is expected to open lower due to the sharp drop in West Texas Intermediate (WTI) prices and the decline in the dollar/won exchange rate, along with cautious sentiment ahead of the June FOMC and the pause in U.S. semiconductor stocks. We may see profit-taking on semiconductor stocks that surged in the previous session right from the start of trading."
He added, "Considering the overall market environment is above neutral, we expect a rotation into other sectors during the day, which should help mitigate the declines."
* This article has been translated by AI.
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