Foreigners and Institutions 'Buy' to Dispel Omicron Concerns... KOSPI Rises Over 1% Intraday

Hyundai Motor, Kia and Other Auto Stocks Rise Alongside Semiconductor Stocks Like Samsung Electronics and SK Hynix
Volatile KOSDAQ... Seegene Surges Over 11%

[Image source=Yonhap News]

[Asia Economy Reporter Gong Byung-sun] As concerns over the new COVID-19 variant virus 'Omicron' subside, the domestic stock market is rebounding. The KOSPI showed an intraday increase of over 1%, supported by buying from foreigners and institutions.

As of 10:50 a.m. on the 13th, the KOSPI recorded 3,035.06, up 0.82% (24.83 points) from the previous day. It even rose to 3,043.83 at 10:22 a.m. that day.

It seems that anxiety about Omicron has been alleviated. Although the World Health Organization (WHO) designated Omicron as a variant of concern on the 26th of last month (local time) and two weeks have passed, it has not shown significant impact. Additionally, the UK Health Security Agency (HSA) stated that vaccines are an effective defense against severe COVID-19, and that receiving a third booster shot significantly blocks Omicron.

Labor Researcher Nodong-gil from Shinhan Financial Investment explained, "Although we still do not know much about Omicron, judging by the financial market's reaction alone, it appears to be passing the peak of volatility," adding, "The most critical issue, vaccine effectiveness, has reached an interim conclusion that existing vaccines are not neutralized."

Buying by foreigners and institutions is strong. Foreigners and institutions net purchased 161.5 billion KRW and 398.7 billion KRW, respectively. Individuals net sold 555 billion KRW.

Most sectors rose. The medical precision sector had the largest increase at 2.36%. This was followed by food and beverage (1.84%), electrical and electronics (1.68%), transportation equipment (1.62%), and steel and metals (1.50%). The electricity and gas sector (-0.55%), service sector (-0.18%), and pharmaceuticals (-0.07%) declined in that order.

The top 10 market capitalization stocks showed gains. Hyundai Motor had the largest increase at 2.65%, followed by SK Hynix (2.49%), Kia (1.99%), Samsung Electronics (1.56%), KakaoBank (1.10%), and Samsung SDI (0.99%). Samsung Biologics (-0.44%) and Kakao (-0.41%) declined. NAVER and LG Chem remained flat.

At the same time, the KOSDAQ recorded 1,011.88, up 0.03% (0.31 points) from the previous day. The KOSDAQ showed volatility, alternating between rises and falls throughout the day.

Individual buying led to the index increase. Individuals net purchased 133.8 billion KRW. Foreigners and institutions net sold 92 billion KRW and 21.8 billion KRW, respectively.

Sector indices were mixed. Digital content had the largest decline at 2.71%, followed by IT S/W & SVC (-1.25%), paper and wood (-0.84%), other services (-0.81%), and broadcasting services (-0.63%). Internet (2.00%), telecommunications services (1.50%), semiconductors (1.37%), machinery and equipment (1.21%), and IT H/W (1.02%) rose in that order.

Most of the top 10 market capitalization stocks fell. Wemade had the largest drop at 6.66%, followed by Pearl Abyss (-1.44%), HL Biopharma (-1.37%), Kakao Games (-0.99%), L&F (-0.58%), EcoPro BM (-0.31%), and Celltrion Pharm (-0.24%). Seegene (11.16%) and Celltrion Healthcare (0.24%) rose. SK Materials remained flat.

This content was produced with the assistance of AI translation services.