Seoul Stocks Open Sharply Lower as Investors Lock in Profits After Record Surge
Quick Look
Seoul stocks opened sharply lower on Monday, with the KOSPI falling 3.6 percent, as investors engaged in profit-taking after the previous session's record 17 percent surge, bucking a Wall Street rally fueled by Amazon's strong AI-driven earnings.
AI-generated summary
Why It Matters
The benchmark Korea Composite Stock Price Index (KOSPI) had vaulted around 17 percent on Friday, marking the sharpest single-day gain on record.
SEOUL, Aug. 3 (Yonhap) -- Seoul stocks opened sharply lower Monday as investors went to lock in profits after a record-breaking surge the previous session.
The benchmark Korea Composite Stock Price Index (KOSPI) opened 237.18 points, or 3.6 percent lower, at 6,358.27, at the opening bell.
The index bucked a rally on Wall Street on Friday (local time), as robust earnings from Amazon fueled investor optimism for the artificial intelligence (AI) sector.
Revenue at Amazon's cloud computing unit jumped 37 percent in the second quarter ending in June, exceeding market expectations.
"We may see investors attempt profit-taking early this week, as the benchmark KOSPI vaulted around 17 percent Friday, the sharpest single-day gain on record," Han Ji-young, an analyst from Kiwoom Securities, said.
What to Watch
AI outlook — possibilities, not facts
Investors may attempt profit-taking early this week.
Likely · Within days
Open Questions
- How long will the profit-taking trend continue?
- Will the KOSPI recover its losses quickly?
