The KOSPI opened more than 1% lower as foreign and institutional investors sold off shares. Despite major U.S. indices reaching record highs overnight, buoyed by strong third-quarter earnings expectations and easing interest rate concerns, the domestic market showed weakness ahead of Samsung Electronics' preliminary earnings announcement and amid caution over an upcoming holiday.
As of 9:03 a.m. on October 7, the KOSPI was down 39.28 points (0.57%) at 6,902.11. The index started at 6,864.25, down 77.14 points (1.11%), before slightly reducing its losses.
In the securities market, foreign and institutional investors sold a net 381.8 billion won and 121.5 billion won, respectively. In contrast, individual investors bought a net 509.6 billion won, providing some support to the index.
Among the top market capitalization stocks, the performance was mixed. Samsung Electronics rose 0.55%, and KB Financial gained 0.30%. However, SK Hynix fell 1.80%, SK Square dropped 0.95%, Samsung Electro-Mechanics decreased 1.01%, LG Energy Solution declined 2.56%, Hyundai Motor was down 1.72%, Samsung Biologics fell 0.92%, and Samsung Life Insurance dropped 1.40%.
The KOSDAQ index also showed weakness, trading at 917.98, down 1.94 points (0.21%) from the previous day. It opened at 917.45, down 2.47 points (0.27%).
In the KOSDAQ market, foreign and institutional investors sold a net 69.8 billion won and 14.1 billion won, respectively, while individuals bought a net 85.5 billion won.
The performance of top KOSDAQ stocks was mixed as well. Alteogen rose 1.73%, Rainbow Robotics gained 0.64%, and HLB increased by 0.21%. Conversely, EcoPro fell 0.63%, JUSUNG Engineering dropped 2.15%, EcoPro BM decreased 0.47%, Wonik IPS fell 1.91%, Rino Technology dropped 0.46%, IOTechniques fell 1.84%, and Simtech decreased 5.26%.
Overnight on the New York Stock Exchange, the Dow Jones Industrial Average rose 0.49%. The S&P 500 and Nasdaq Composite also increased by 0.58% and 0.45%, respectively, reaching all-time highs.
As the third-quarter earnings season begins next week, expectations for major companies' performances have increased, while U.S. Treasury yields and international oil prices have stabilized, boosting risk appetite. AI-related stocks also performed well, with Marvell Technology rising 5.81% and Broadcom increasing by 3.67%.
Seo Sang-young, a researcher at Mirae Asset Securities, noted, "The decline in government bond yields in European countries like France has eased investor anxiety. Additionally, Marvell's presentation of long-term AI growth prospects at its Investor Day has led to a rally in related stocks, driving gains in technology shares."
The domestic market may see limited declines as investors await Samsung Electronics' preliminary earnings announcement and remain cautious about the upcoming holiday at the end of the week. Han Ji-young, a researcher at Kiwoom Securities, predicted, "During the trading session, the market may experience limited upside due to the anticipation of Samsung Electronics' preliminary results and caution over the holiday, leading to a rotation among sectors."
* This article has been translated by AI.
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