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Kospi slides 0.22% after investors cash out as volatility calms

Published: 16 Dec. 2024, 17:08 Updated: 16 Dec. 2024, 17:44

A screen in Hana Bank's trading room in central Seoul on Monday shows Kospi closing at 2,488.97, 5.49 points lower than the previous session. [YONHAP]

Shares ended lower Monday, snapping their four-session winning streak, as foreign investors moved to lock in profit after market volatility decreased following President Yoon Suk Yeol's impeachment over the weekend. The won was trading lower against the dollar.

The Kospi lost 5.49 points, or 0.22 percent, to close at 2,488.97. It had kicked off 0.43 percent higher before turning lower.

Trade volume was moderate at 515 million shares worth 8.2 trillion won ($5.7 billion), with winners outnumbering losers 487 to 397.

Foreigners unloaded 476.6 billion won worth of local shares, while retail investors and institutions purchased 368.9 billion won and 2.1 billion won, respectively.

"The Kospi had started higher as political uncertainties lessened over the weekend with President Yoon Suk Yeol's impeachment, but turned lower as investors moved to take profit," Lee Kyoung-min, an analyst at Daishin Securities, said.

On Saturday, the National Assembly passed a motion to impeach Yoon to hold him accountable for his botched martial law declaration earlier this month that sent ripples through the nation, driving the country's stock market to a one-year low at one point.

"With the U.S. Federal Reserve's December Federal Open Market Committee meeting and major central bank events coming up this week, the Kospi experienced a short-term adjustment," Lee added.

Big-cap shares ended mixed across the board.

Samsung Electronics lost 0.89 percent to 55,600 won, while SK hynix jumped 2.17 percent to 179,300 won.

Naver increased 1.9 percent to 214,000 won, while Kakao plunged 4.25 percent to 43,950 won.

Auto shares lost ground, with Hyundai Motor dropping 1.86 percent to 211,000 won, and its sister Kia shedding 2.85 percent to 95,300 won.

But bio shares were strong, with Samsung Biologics up 1.32 percent to 999,000 won and Celltrion rising 1.45 percent to 196,200 won.

Telecommunication shares were also bullish, with KT soaring 3.57 percent to 46,450 won and LG Uplus advancing 2.74 percent to 11,250 won.

The local currency was trading at 1,435.0 won against the dollar at 3:30 p.m., up 2.0 won from the previous session.

Bond prices, which move inversely to yields, closed lower. Three-year government bond yields increased 1.1 basis points to 2.552 percent, while the return on the benchmark 10-year U.S. government bonds increased by 6.9 basis points to 4.392 percent.

BY KAYA SELBY, YONHAP [[email protected]]