Despite major corporations announcing their highest quarterly results, the stock prices struggled, causing the KOSPI to close slightly down. Expectations for a tariff reduction in the U.S. created a favorable atmosphere on the New York Stock Exchange overnight; however, the domestic market failed to rebound as economic contraction became a reality. Investor sentiment was cautious, with many choosing to wait as U.S.-Korea tariff negotiations approached.
On the 24th, the KOSPI index closed at 2,522.33, down 3.23 points (0.13%) from the previous trading day. The market started lower at the 2,525 level. The index fluctuated between gains and losses before shifting downward following news of a contraction in gross domestic product (GDP). However, it rebounded in the afternoon, primarily driven by shipbuilding stocks, reducing the decline.
In the securities market, institutions and foreign investors sold a net of 198.4 billion won and 7.8 billion won, respectively, displaying consistent selling throughout the session. Individual investors supported the index with a net purchase of 134.9 billion won.
As Korea's first-quarter GDP contracted, significantly falling short of previous expectations, net selling by foreign investors continued. The first-quarter GDP growth rate recorded a minus (-) 0.2%, chilling investor sentiment.
With a 2+2 trade consultation between the U.S. and South Korea scheduled for that night, investors appeared to be more in a wait-and-see attitude rather than actively seeking to buy.
In the afternoon, investors focused on corporate performance. Major corporations announced their earnings that day. Despite posting strong first-quarter results, SK hynix (-1.3%) and Samsung Biologics (-2.0%) saw profit-taking sales.
HD Hyundai Heavy Industries was different. It reportedly saw a 1,900% increase in operating profit in the first quarter compared to the same period last year, setting a new 52-week high. The stock closed up 2.45%. The positive momentum for HD Hyundai Heavy Industries also lifted other shipbuilding stocks, such as HYUNDAI HYMS and Hanwha Ocean.
However, many companies that recorded their highest revenues saw their stock prices fall. LG Electronics (-1.4%) and Hyundai Motor (-0.58%), which posted record sales for the first quarter, closed lower. Samsung SDI (-2.99%) and HD Hyundai Marine Solution (-3.26%) experienced similar declines.
Among the group stocks, Shinsegae Group drew attention. This was following the news that Donald Trump Jr., the son of U.S. President Donald Trump, will visit South Korea next week at the invitation of Chung Yong-jin, chairman of Shinsegae Group.
Shinsegae I&C (21.69%), Emart (3.59%), Shinsegae (3.01%), and Shinsegae International (1.68%) all saw gains.
The KOSDAQ index closed unchanged at 726.08. During trading, it expanded the decline to the 723 level, but foreign investors shifted to net buying in the afternoon, reducing the drop. On that day, individual and foreign investors net purchased 29.8 billion won and 5.2 billion won, respectively, while institutions sold 31.5 billion won.
The largest stocks by market capitalization on the KOSDAQ showed a mixed performance. Alteogen, Ecopro BM, and HLB closed lower, while Ecopro, HUGEL, and Classis closed higher. On that day, PharmaResearch finished trading up 4.89%.