Odaily Planet Daily reports: After a strong rebound last month, as the upward momentum of South Korea’s KOSPI index weakened, the KOSDAQ index is igniting a market recovery. For the first time in its history, the KOSDAQ index triggered the buy-side circuit breaker mechanism (sidecar mechanism) for three consecutive trading days, closing up more than 5% amid institutional buying. The KOSPI index, which had briefly turned negative during the session, ended up over 1% as institutional selling pressure eased toward the close. On that day, institutional investors drove the majority of capital inflows into the KOSDAQ market. Retail and foreign investors net sold 258 billion KRW and 277 billion KRW respectively, while institutional investors net bought 543 billion KRW, propelling the index higher.
Institutional investors have maintained net buying for three consecutive trading days, with a cumulative net buying volume exceeding 1 trillion Korean won. This year, the KOSDAQ market has previously triggered the sidecar mechanism for three consecutive trading days on two occasions: March 4–6 (sell, buy, buy) and July 14–16 (buy, sell, sell). This marks the first time the sidecar mechanism has been triggered by buying on all three consecutive trading days. (Jin10)