KOSPI Retreats On Profit-Taking After Strong Rally
South Korea's benchmark KOSPI Index ended lower on June 27, slipping 0.77% to close at 3,055.94, as investors opted to take profits following a robust June rally that had pushed the index above 3,100 earlier in the week.
This marks the second consecutive session of losses, driven largely by broad-based selling in battery, auto and tech sectors. Foreign investors were net sellers, offloading around 855.4 billion won worth of shares, while institutional and retail investors absorbed some of the pressure with net combined purchases of approximately 805 billion won.
Despite the pullback, the KOSPI remains up around 15% for the month, bolstered by easing geopolitical tensions and increased institutional inflows that had earlier sent the index to its highest levels in over three years.
Battery and automotive stocks led the decline, with LG Energy Solution falling nearly 3% and Hyundai Motor dropping 2.15%, as investors locked in gains. In tech, Samsung Electronics edged up 1%, but SK hynix lost 3.07%, reflecting mixed sentiment in the semiconductor space. Internet giant Naver dipped 1.3%, while SK Innovation slid 2.5% amid broader weakness in energy shares.
The recent decline is widely viewed as a natural correction after June's sharp gains.
Markets are also awaiting global signals, particularly from the US Federal Reserve, whose next policy steps could influence foreign capital flows into emerging markets like South Korea. At home, recent economic data, including a 0.6% rise in the Leading Economic Index for April, suggest a gradual improvement in macro conditions.
Outlook: With the KOSPI still comfortably above the key psychological level of 3,000, analysts believe the index may consolidate in the near term as traders assess global economic cues and domestic earnings updates. Volatility may persist ahead of key data releases and geopolitical developments, but underlying investor appetite remains firm. Related
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
BusinessToday
10 hours ago
- BusinessToday
KOSPI Retreats On Profit-Taking After Strong Rally
South Korea's benchmark KOSPI Index ended lower on June 27, slipping 0.77% to close at 3,055.94, as investors opted to take profits following a robust June rally that had pushed the index above 3,100 earlier in the week. This marks the second consecutive session of losses, driven largely by broad-based selling in battery, auto and tech sectors. Foreign investors were net sellers, offloading around 855.4 billion won worth of shares, while institutional and retail investors absorbed some of the pressure with net combined purchases of approximately 805 billion won. Despite the pullback, the KOSPI remains up around 15% for the month, bolstered by easing geopolitical tensions and increased institutional inflows that had earlier sent the index to its highest levels in over three years. Battery and automotive stocks led the decline, with LG Energy Solution falling nearly 3% and Hyundai Motor dropping 2.15%, as investors locked in gains. In tech, Samsung Electronics edged up 1%, but SK hynix lost 3.07%, reflecting mixed sentiment in the semiconductor space. Internet giant Naver dipped 1.3%, while SK Innovation slid 2.5% amid broader weakness in energy shares. The recent decline is widely viewed as a natural correction after June's sharp gains. Markets are also awaiting global signals, particularly from the US Federal Reserve, whose next policy steps could influence foreign capital flows into emerging markets like South Korea. At home, recent economic data, including a 0.6% rise in the Leading Economic Index for April, suggest a gradual improvement in macro conditions. Outlook: With the KOSPI still comfortably above the key psychological level of 3,000, analysts believe the index may consolidate in the near term as traders assess global economic cues and domestic earnings updates. Volatility may persist ahead of key data releases and geopolitical developments, but underlying investor appetite remains firm. Related
The Star
5 days ago
- The Star
Energy stocks take centrestage as FBM KLCI bucks downward trend
KUALA LUMPUR: A surprise reversal in the performance of blue chips on Bursa Malaysia suggested foreign funds were seeking out local equities even as global markets were wracked by nerves over the US's entry into the Isreal-Iran conflict. While other regional equity benchmarks wallowed in the red, Malaysia's FBM KLCI made an unexpected bounce to erase a 14-point deficit and tack on a 6.61-point gain to 1,509.35. Nestle was seen leading the blue chips higher, surging RM3.18 to RM75.70. PETRONAS and energy-related stocks performed especially well following crude oil's weekend rally. MISC gained 13 sen to RM7.69, Tenaga Nasional rose 12 sen to RM14.34 and PETRONAS Chemicals climbed seven sen to RM3.11. The lower liners on the domestic market, however, remained subdued with the declining issues outweighing the advancers 4.17-to-1. Market volume remained on pace with that of previous days, with 2.04 billion share changed for RM960.69mil. Among the top performers, Petron Malaysia rose 13 sen to RM3.86, Hibiscus Peroleum jumped 13 sen to RM1.84 and Hengyuan Refining added nine sen to RM1.94. Regionally, stock markets were a sea of red, in line with US futures as the threat of growing warfare in the Middle East sapped investor appetite for equities. Japan's Nikkei dropped 0.2% to 38,331, South Korea's Kospi slid 0.51% to 3,006 and Hong Kong's Hang Seng shed 0.13% to 23,498. On the Chinese mainland, the CSI300 fell 0.2% to 3,838, although the composite index showed some mild resilience, rising 0.15% to 3,365. With the exception of the Malaysian index, all other Asean markets were in negative territory. The Philippine and Indonesian markets led with 2.06% and 1.77% declines respectively.
The Star
20-06-2025
- The Star
South Korea says SK and Amazon to invest $5 billion in country's biggest data centre
FILE PHOTO: Figurines with computers and smartphones are seen in front of Amazon logo in this illustration taken, February 19, 2024. REUTERS/Dado Ruvic/Illustration/File Photo SEOUL (Reuters) -South Korea's SK Group will invest around 7 trillion won ($5.11 billion) including $4 billion from Amazon Web Services, Amazon's cloud services provider, to build a data centre in the southern city of Ulsan, the Science Ministry said on Friday. The AI data centre, which will be the country's largest, will break ground in September and be fully operational with a capacity of 100 megawatts by 2029, the ministry said in a statement. SK Group Chairman Chey Tae-won said he planned to expand the data centre's capacity to one gigawatt in the future and make it a global hub that handles domestic AI demand during a meeting attended by President Lee Jae Myung and tech CEOs. Artificial intelligence was crucial for South Korea's growth, he said. "It may set a good example that South Korea's high-tech industry is possible not only in the metropolitan area but also in the provinces," Lee said. South Korea's AI-related stocks on Friday extended a rally on policy optimism, with SK Hynix rising more than 3%, Kakao surging 11%, and LG CNS gaining 9%, leading the benchmark KOSPI above a key milestone of 3,000 points for the first time in 3-1/2 years. The official announcement follows media reports earlier this month that SK Group and Amazon Web Services were building a data centre in South Korea. ($1 = 1,368.7600 won) (Reporting by Hyunsu Yim and Jihoon LeeEditing by Ed Davies)
