[Market Opening] US Credit Rating Downgrade Hits KOSPI, Dips to 2,610 Level

# South Korean Markets Slide After Moody's Downgrades U.S. Credit Rating South Korea’s KOSPI index faced a downturn due to weakened investor sentiment following Moody’s downgrade of the U.S. sovereign credit rating. This move by the global rating agency contributed significantly to the negative market sentiment, exerting downward pressure on the index. As of 9:45 a.m. on the 19th, the KOSPI stood at 2,616.17, showing a decline of 10.17 points, or 0.39%, from the previous trading session. Retail investors became net buyers, absorbing stocks worth KRW 43 billion, while foreign and institutional investors offloaded KRW 9.3 billion and KRW 31.7 billion, respectively. # Top KOSPI Stocks Experience Mixed Reactions Among the large-cap stocks on the KOSPI, several showed gains: - Samsung Biologics (207940) added 2.2% - KB Financial (05560) rose 1.82% - LG Energy Solution (373220) climbed 1.03% - Hanwha Aerospace (012450) increased 0.95% Conversely, some key stocks saw declines: - SK Hynix (000660) tumbled 2.2% - Hyundai Motor (005380) dropped 1.55% - Samsung Electronics Preferred (005935) slid 1.28% - Samsung Electronics (005930) fell 1.06% - Kia (000270) declined 0.98% - HD Hyundai Heavy Industries (329180) slipped 0.36% The KOSDAQ, South Korea’s secondary index, weakened further, falling 9.46 points, or 1.31%, to 715.52. Individual investors net bought KRW 149 billion, whereas foreign and institutional investors sold shares worth KRW 48.2 billion and KRW 89 billion, respectively. # KOSDAQ Performance Highlights On the KOSDAQ, some stocks managed to post gains: - Peptron (087010) rose 2.63% - Alteogen (096170) added 1.57% - PharmaResearch (214450) gained 1.2% - EcoPro BM (247540) edged up 0.85% However, declines were noted in: - HLB (028300), dropping 3.22% - Rainbow Robotics (277810), down 2.7% - Leechem Biotech (041080), slipping 1.45% # Downgrade Triggers Weak Market Sentiment The market downturn largely reflected concerns over Moody's downgrade of the U.S. credit rating. On November 16, Moody’s downgraded the U.S. sovereign credit rating from ‘Aaa’ to ‘Aa1,’ citing rising fiscal deficits and increasing debt burden. This downgrade has triggered a global shift toward safe-haven assets, adding further downward pressure on equity markets worldwide. Jiwon Kim, an analyst at KB Securities, stated, “Preference for safe-haven assets may intensify in the short term. Monitoring interest rate and foreign exchange movements will be crucial.” Jiyoung Han, an analyst at Kiwoom Securities (039490), added, "Moody's downgrade might act as a short-term catalyst for market adjustments." # Currency Markets Respond with Risk-Off Sentiment Reflecting the risk-averse sentiment, the Korean won weakened against the dollar. The USD/KRW exchange rate opened the session at 1,396.5, up KRW 6.9 from the previous day’s close.