Foreigners 14.5trillion won in selling; ETFs changed KOSPI flows
Foreign investors net sold 14.5 trillion won in South Korea’s stock market last week. Sales of Samsung Electronics and SK hynix alone reached 10.6 trillion won, while robot and energy storage system (ESS) stocks saw net buying over the same period.
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Foreign investors recorded net sales of 14.5 trillion won in South Korea’s stock market last week. Continued foreign selling on the KOSPI affected the index. Foreign investors’ share expanded noticeably in indicators showing trading flows.
Foreign sales of Samsung Electronics and SK hynix totaled 10.6 trillion won. The large-scale selling of the two stocks appeared in trading records interpreted as rotation into large-cap stocks. The figures were compiled alongside the trading trends of institutions and individual investors.
Foreign investors recently 12 trading days in a row of net selling, according to compiled data. Over the same period, foreign investors were also observed switching to net buying in some sectors. In particular, robot and energy storage system (ESS) stocks were among the net-buying targets.
An analysis has reported that trading in exchange-traded funds (ETFs) affected the supply-and-demand structure. It cited cases in which ETF trading connected individual and institutional spot-market flows, changing the pattern of foreign net selling and the market’s response. It also pointed out that ETF-related fund flows contributed to index volatility.
A report said that prepaid cards targeting foreign visitors are gaining traction as the rollout of EMV contactless terminals remains slow. The delay in terminal deployment was described as a phenomenon linked to changes in payment methods. Industry sources said that the pace of terminal deployment and shifts in payment methods affect the transaction environment.
Several reports identified foreign selling, concentrated selling of large-cap stocks, ETF fund flows, and the pace of payment-terminal deployment as key points for understanding recent supply-and-demand trends. Detailed figures and disclosures for each item can be found in exchange and individual company disclosures.