KOSPI closed lower on the 7th amid continued weakness in U.S. semiconductor stocks and sustained foreign selling pressure for two consecutive trading days. Attention now turns to whether a favorable environment will emerge for a KOSPI rebound as major macroeconomic indicators, starting with the U.S. July employment report later tonight, are set to be released. Additionally, with SK Hynix announcing its quarterly dividend after market close, another key factor to watch is whether investor sentiment in semiconductor stocks will recover.
On this day, KOSPI closed at 6,258.77, down 37.61 points (0.60%) from the previous trading session. KOSPI fell more than 7% this week, marking seven consecutive days of decline.
In the KOSPI market (based on Korea Exchange data), foreign investors sold off 862.4 billion won worth of stocks. Retail investors and institutional investors purchased 266.9 billion won and 578.9 billion won worth, respectively. Foreign investors initially moved to net buying at the opening but shifted to net selling during trading hours, intensifying selling pressure. Conversely, retail investors switched to net buying during the session, helping reduce the index decline alongside institutional investors.
Lee Kyung-min, FICC deputy head at Daishin Securities, said, "Despite foreign net selling, institutional investors and financial investment firms provided support, resulting in a sideways trading pattern." He added, "News that Nvidia is considering downgrading the HBM (high-bandwidth memory) specifications for Rubin Ultra weighed on sentiment, and weakness in SK Hynix, which has high exposure to HBM, led the index decline."
Among KOSPI sectors, securities and construction fell more than 2%. Insurance, telecommunications, IT (information and communications) services, and electrical equipment declined by around 1%. Metals, machinery and equipment, medical and precision instruments, and electrical appliances remained roughly flat. Textiles and apparel, transportation equipment and parts, transportation and warehousing, non-ferrous metals, distribution, and paper and wood closed with slight gains. Real estate rose more than 1%, while entertainment and culture and pharmaceuticals increased by over 2%. Food and tobacco and chemicals advanced by around 3% and 4%, respectively.
Among the top market capitalization stocks in KOSPI, SK Hynix and Samsung Life Insurance fell more than 4%. SK Square declined by around 3%, and Hyundai Motor dropped by about 1%. Samsung Electronics and Samsung C&T closed roughly flat. Samsung Biologics and KB Financial Group rose by around 2%. Samsung Electro-Mechanics gained more than 3%. LG Energy Solution and Hanwha Aerospace increased by over 4%.
KOSDAQ closed at 798.81, down 2.86 points (0.36%) from the previous session. Although it opened higher, KOSDAQ ended lower, halting its five-day streak of closing gains that began on the 31st of last month.
In the KOSDAQ market, foreign investors and institutional investors sold off 253.9 billion won and 103 billion won worth, respectively. Retail investors purchased 340.5 billion won worth.
Among KOSDAQ sectors, machinery and equipment fell more than 3%, and non-ferrous metals declined by over 2%. Transportation equipment and parts, manufacturing, telecommunications, distribution, medical and precision instruments, transportation and warehousing, IT services, and electrical equipment closed roughly flat. Chemicals, textiles and apparel, pharmaceuticals, and general services showed slight gains. Metals, entertainment and culture, and financials rose by more than 1%. Paper and wood surged by 8%.
Among the top market capitalization stocks in KOSDAQ, RAINBOW Robotics closed with weakness of around 5%. Juseong Engineering and Wonik IPS fell by over 4%. Reino Industrial declined by about 1%. EcoPro, Peptron, and Ligand Bio raised by more than 2%. AlteoGen and ABLE Bio rose by around 3%, while EcoPro BM increased by approximately 4%. HLB showed strong performance of around 5%.
In the Seoul foreign exchange market on this day, the won/dollar exchange rate closed at 1416.1 won, down 7.7 won from the previous session's closing price, concluding weekly trading (at 3:30 p.m.).
Experts in the financial investment industry identified macroeconomic factors and second-quarter earnings reports as key elements affecting domestic stock markets. The U.S. July employment report is scheduled for release later tonight. On the 12th and 13th, consumer price index (CPI) and producer price index (PPI) releases are also expected to follow in succession.
Lim Jeong-eun and Tae Yun-seon, researchers at KB Securities, stated, "With the U.S. employment data tonight followed by next week's CPI and PPI releases, it is necessary to confirm the direction of interest rates." They added, "Domestically, earnings reports from Meritz Financial Holdings and Shinsegae are expected. Amid recent steady performance in defensive stocks, attention will focus on whether stock prices will differentiate based on earnings."
Meanwhile, SK Hynix's quarterly dividend plan announced after market close today may also influence shareholder investment sentiment. SK Hynix's quarterly dividend is 375 won per share, with a dividend yield of 0.02% based on the closing price on this day. The dividend record date is set for the 31st of this month, and dividends are expected to be paid within one month from that date.
SK Hynix stated, "We are actively reviewing additional shareholder return measures to enhance shareholder value," adding, "Specific details will be finalized and announced during the third quarter."
Some argue that since Samsung Electronics and SK Hynix are companies generating substantial earnings through massive investments, focusing on maintaining growth is itself a form of shareholder return. An analyst from a securities firm who requested anonymity said, "Investors buy other tech stocks like Google even without dividends, so I question whether the investment purpose for SK Hynix is dividends." He added, "It is necessary to consider that this is a capital-intensive stock aimed at future growth."
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