KOSPI swings intraday amid massive retail selling and a concentration in leveraged products
KOSPI closed 7,291.91but showed significant volatility during the session due to retail investors’ selling and an increased share of leveraged-product trading, while institutions responded with buying. KOSDAQ returned from the 700level to the 800level in just one day.
KOSPI closed 7,291.91During the session, the index at times turned lower due to massive selling by retail investors.
The scale of retail investors’ selling was reported in one article tally as 1.3trillion won. Another tally put net retail selling at 1.5trillion won.
Institutions showed buying momentum during the session and absorbed some of the supply. On the trading floor, institutions were reported to have participated through buying described as “scooping up” shares.
Trading value by stock, including leveraged products, was reported to account for 83% of the total. The concentration in certain large-cap stocks and leveraged products was cited as having distorted trading patterns.
Reports said that some market participants deployed purchases to defend the index when it turned lower during the session. It was reported that the deployment of the so-called “pension army” was spotted on the ground.
KOSDAQ returned in a single day to the 700line from the 800line. Concentration in trading and fund flows among semiconductor equipment and materials-related stocks was mentioned.
The index recorded a close up 45.12points, or 0.62%. Buying and selling volumes by market participant are being compiled based on the figures reported.
Today’s session saw individual selling, concentrated leveraged trading, and institutional buying at the same time. Expanded market volatility and concentration in individual stocks were reported as the main characteristics.