Foreign Buying Amid Interest Rate Cut Uncertainty

Foreign capital inflow is essential for the stock price increase of Samsung Electronics and Hynix, but foreign investors continue to withdraw funds. This could negatively impact the stock performance of these two key companies.

Foreign investors, in particular, are maintaining a selling stance in the domestic stock market, putting pressure on the overall market atmosphere, making their shift to buying a crucial condition for a stock rebound.

At the end of trading yesterday, a sharp influx of foreign buying occurred in the futures market, closing at approximately 800 billion won. This could serve as a factor to alleviate short-term market anxiety.

Such foreign futures buying is likely to have a positive impact on the spot market the next day and can be interpreted as a signal anticipating a short-term market rebound.

The market is currently experiencing increased overall fatigue, with many investors feeling inclined to exit. This sentiment is leading to reduced trading volume and a wait-and-see attitude.

However, a small number of investors view the current difficult period as a 'man's test,' or a test of courage, actively seeking investment opportunities, thus creating a psychological divergence among investors.

Despite Samsung Electronics and Hynix's share buybacks, a block deal worth approximately 1.4 trillion won occurred yesterday, offsetting the effect of the buybacks. This limited the upward momentum of the two companies' stock prices.

This block deal involved POSCO-related shares, and the effect was offset by large-scale purchases from other corporate entities. This impacted the overall supply-demand imbalance in the market.

Share buybacks typically have a stock price boosting effect, but it is analyzed that this effect was halved due to the large-scale block deal. These supply-demand factors are acting synergistically on stock price movements.

Currently, stablecoin-related stocks are topping the list and showing strength. This is believed to be related to recent changes in the cryptocurrency market.

Robotics stocks are also showing strong momentum, centered around companies like Robotis, with Goldman Sachs' target price increases having a positive impact. Power equipment stocks such as Gaon Cable and Jeron Electric are also continuing their upward trend.

Defensive sectors that showed strength yesterday are generally showing weakness today and undergoing adjustments. This is closely related to the shift in market interest towards growth stocks and theme stocks.

In particular, traditional defensive stocks such as finance, banking, and insurance companies are generally experiencing weakness. This trend reflects changes in market investor sentiment.

Despite the major positive news of a 4 trillion won license-out, Alteogen's stock price has been falling sharply, showing poor technical form. Yesterday, it closed below the 290,000 won level, which I personally considered important.

In the short term, recovering the 290,000 won level is crucial, and if it fails to recover, the previous low of 270,000 won should be set as the next support level for 대응.

Alteogen's stock appears to continue being affected by supply and demand factors as new shares from its free share issue hit the market. This is one of the main reasons for the stock price decline.

Although large volumes of program and institutional selling occurred yesterday and the day before, putting downward pressure on the stock price, this is judged to be a supply-demand factor unrelated to fundamentals, and a rebound is expected in the future.

As investor sentiment in the KOSDAQ market deteriorated this week, Alteogen's major positive news of a 4.4 trillion won license-out has not been fully reflected in its stock price. This license-out is significant as it expands into the gene therapy field.

Furthermore, Alteogen completely won its patent dispute with Halozyme, resolving related risks. Halozyme's defeat fully supports Alteogen, meaning the patent dispute is now largely concluded.

KOSPI rose 1.2% and KOSDAQ rose 1.3%, with both markets starting with a 1% gap up. KOSDAQ showed slightly stronger performance than KOSPI.

In early trading, a period of digestion of selling pressure is expected due to weakened market investor sentiment. Therefore, the sustained inflow of foreign buying will be a critical factor for maintaining the upward trend.

While the positive start for both markets is encouraging, it is time to closely monitor selling pressure and foreign capital trends to determine the market's direction.

Personally, I am focusing on robotics stocks and low-power infrastructure companies, and suggest building a portfolio centered around secondary battery companies that have recently been suppressed.

Secondary battery companies, in particular, may offer buying opportunities after their recent stock price adjustments and are judged to have high future growth potential.

Today marks the unveiling of Tesla's Cybertruck, and as a new momentum prepared for over seven years, market expectations are very high. Attention is focused on whether it can meet these expectations.

The Cybertruck is expected to start reflecting in actual earnings from Q1 to Q2 next year. This suggests the need for a medium-to-long-term perspective rather than short-term stock fluctuations.

Given the long preparation period, there is a high possibility that it will become Tesla's new growth engine, but attention should be paid to long-term changes in corporate value rather than short-term stock movements.

While battery cell-related companies like LG Energy Solution can be mentioned, I believe the investment strategy should focus on L&F, as it is currently the only company capable of supplying LFP cathode materials to the US.

L&F has high growth potential based on its competitive edge in supplying LFP cathode materials to the US market, which is expected to have a positive impact on the company's stock price.

Sectors to watch today include beneficiaries of falling bond yields, stablecoin-related stocks, cybersecurity, and the semiconductor and materials/parts sectors. In particular, Nvidia's acquisition of AI platform company Hugging Face for 17 trillion won highlights the growth potential of AI infrastructure.

Expanding physical AI requires increased demand for data centers and GPUs, which will be a growth driver for related companies. The expansion of the AI infrastructure market is expected to continue with the advancement of AI technology.

Nvidia has signed a computing partnership for up to 100,000 GPUs using the Vera Rubin architecture. This will further solidify Nvidia's position in the AI and high-performance computing markets.

Through this agreement, Nvidia's GPUs will be utilized on a large scale, which is expected to contribute significantly to the development of related technologies and industries.

It was confirmed that the newly unveiled Tesla Cybertruck has a temporary steering wheel. This appears to be a measure to prepare for potential emergencies, as some US states, including California, legally require a steering wheel even for autonomous vehicles.

Despite advances in fully autonomous driving technology, this is a temporary measure to avoid conflict with current regulations and may change in the future depending on changes in autonomous driving laws.

Wire and cable companies have a profit structure that allows them to easily pass on copper price increases to their selling prices. They tend to purchase raw materials in large quantities when copper prices are low and reflect price increases in their selling prices to expand margins when copper prices rise.

LS is a representative example, and thanks to these characteristics, improved performance can be expected from wire and cable companies during periods of rising copper prices.

Foreign and institutional investors are concurrently buying in both the KOSPI and KOSDAQ markets, positively impacting the market. Foreigners are also continuing to buy in the futures market, with approximately 140 billion won in purchases.

However, as the stabilization of macroeconomic indicators is still incomplete, caution should be maintained across the market despite this buying momentum.