A market where even leading stocks have no buyers… Watch the down days rather than the up days | Hong Seon-ae, Park Hyun-sang, Director at Jumeoni Investment Advisory

Summary

Park Hyun-sang, Director at Jumeoni Investment Advisory, described a Korean stock market that lacks strong buyers, with individuals buying dips while foreigners and institutions sell. He framed the market as range-bound and chart-driven, similar to the pre-COVID period, and advised watching down days rather than up days. He favored holding Samsung Electronics and SK hynix for dividends, liked US tech after the Nasdaq pullback and favorable FX, and preferred shipbuilding, defense, and power equipment while avoiding nuclear chases and small/mid caps.

• Korean equities lack strong buyers; individual dip-buying is not conviction.
• The market resembles a pre-COVID range-bound, chart-driven tape; watch down days.
• Samsung Electronics and SK hynix should be held for dividends, with October expected to be better than September.
• US technology and the Nasdaq look attractive after a slight pullback and favorable USD/KRW levels.
• Shipbuilding, defense, and power equipment are preferred sectors with upward earnings revisions.
• Nuclear power is an event-driven trade that should not be chased, especially Doosan Enerbility.
• Small/mid caps should be reduced in favor of beaten-down earnings stocks.
• A rate hike is largely priced in; the speaker sees today as a possible low before an earnings-season focus.