The KOSPI index, which had briefly recovered above the 8,000 mark, fell back to the 7,900 range just a day later. This decline is attributed to profit-taking following a sharp rise the previous day, compounded by weakness in U.S. semiconductor stocks and heightened risks in the Middle East.
On June 10, the KOSPI opened at 7,899.77, down 197.16 points (2.43%) from the previous trading day.
Foreign investors are notably selling off shares, with individuals and institutions purchasing a net 311.4 billion won and 22.1 billion won, respectively, while foreign investors sold a net 347.3 billion won. In the KOSDAQ market, individuals bought a net 91.3 billion won, while foreign investors and institutions sold a net 74.6 billion won and 14.4 billion won, respectively.
Most of the top stocks by market capitalization on the KOSPI are showing weakness. Samsung Electronics and SK Hynix both fell by over 2%, while Samsung Electro-Mechanics and SK Square also declined. In contrast, Hyundai Motor and LG Energy Solution are experiencing gains.
The KOSDAQ index started at 958.58, down 9.23 points (0.95%) from the previous day, but quickly recovered some losses and is trading in a narrow range. Among the top KOSDAQ stocks, Alteogen is down by over 1%, while EcoPro, EcoPro BM, and Jusung Engineering are showing gains, resulting in mixed performance.
Overnight, U.S. markets closed mixed, with technology stocks underperforming. The Dow Jones Industrial Average rose by 0.17%, while the S&P 500 and Nasdaq Composite fell by 0.26% and 0.97%, respectively. Notably, the Philadelphia Semiconductor Index dropped as much as 8.62% during the session, impacting the entire semiconductor sector.
Market analysts believe that news of U.S. data center developer Cruso pausing a large-scale data center project in Wyoming has cooled investor sentiment towards AI and semiconductor-related stocks. Additionally, profit-taking ahead of the scheduled IPO of SpaceX on June 12 has contributed to the weakness in tech stocks.
Risks in the Middle East have also resurfaced. U.S. President Donald Trump suggested a strong response to Iran's claim of shooting down a U.S. helicopter, and reports emerged after market close of U.S. military strikes on targets in Iran, dampening risk appetite among investors.
The domestic market is expected to continue its volatile trend, influenced by profit-taking from the previous day's 8% surge and caution ahead of the U.S. Consumer Price Index (CPI) report for May, set to be released tonight.
Han Ji-young, a researcher at Kiwoom Securities, stated, "The domestic market is likely to experience a mix of upward and downward pressures today, with profit-taking from yesterday's 8% surge and caution surrounding the May CPI report. The market will focus on the upcoming U.S. CPI, as recent market corrections have been driven by concerns over Federal Reserve interest rate hikes, and this inflation data could alter expectations for the Fed's policy direction."
* This article has been translated by AI.
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