06.01.202602:52:25UTC+00South Korean Shares Retreat Amid Profit-Taking

On Tuesday, the benchmark KOSPI experienced a 0.4% decline to approximately 4,440, retreating from its record highs. This downturn occurred as investors sought to secure profits following a significant rally in the previous session. Foreign investors notably pivoted to net sellers, having previously purchased shares worth over KRW 2.8 trillion over the preceding two trading days. As the KOSPI surpassed the 4,400-point threshold for the first time, market participants exercised caution, choosing not to push prices higher and opting to reduce their stakes at these elevated levels. The urge to capitalize on profits was intensified by sell-offs in major index components, especially within the technology sector, where recent increases were most notable. Samsung Electronics saw a decline of 2.0%, while SK hynix decreased by 1.7%. Other companies such as SK Square fell by 0.7%, Hanwha Aerospace by 0.3%, and Kia Corporation by 0.3%. Concurrently, the softening of the won, trading near 1,447 per dollar, contributed to a generally restrained market sentiment.