📢 March 21, 2025 (Trading Day Basis): South Korea Economic & Stock Market News Summary 📈🇰🇷

Hello, investors! As always, we have compiled the key news and issues in the South Korean economy and stock market. To help you grasp the trends in both global finance and the Korean stock market, we have analyzed the essential highlights. Read through to the end and use this information to refine your investment strategies.

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📊 Stock Market Trends

• KOSPI Index: 2,643.13 (+0.23%)
• KOSDAQ Index: 719.41 (-0.79%)

On March 21 (Friday), the South Korean stock market saw mixed results. The KOSPI index closed slightly higher, supported by foreign and institutional investors, while the KOSDAQ index declined amid ongoing market uncertainties. Large-cap stocks showed resilience, but some small- and mid-cap growth stocks faced selling pressure.

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🏦 Economic News & Key Issues

📉 Bank of Korea Lowers 2025 GDP Growth Forecast

The Bank of Korea has revised its 2025 GDP growth forecast downward from 1.9% to a range of 1.6%~1.7%. The adjustment reflects persistent political uncertainties and weak domestic demand. With consumer and business investment sentiment remaining sluggish and global economic slowdown concerns rising, Korea’s growth prospects face increasing challenges.

💼 Hanwha Aerospace Announces $2.7 Billion Rights Offering

Hanwha Aerospace has decided on a 3.6 trillion KRW (~$2.7 billion) rights offering to expand investments in defense, shipbuilding, and aerospace sectors. This move is seen as a strategic effort to strengthen its competitive edge in these industries. With growing global demand for defense equipment, expectations for future revenue growth are increasing.

💊 HLB Stock Plummets After FDA Rejection

HLB shares plunged 29.97% following news of its FDA approval failure. Investors reacted negatively to the development, leading to a significant drop in market confidence for the company. The failed approval also weighed on overall sentiment in the biotech sector, dampening investor enthusiasm.

🔋 Samsung SDI Stock Gains on CEO’s Share Purchase

Samsung SDI saw a 5% increase in its stock price following reports that CEO Choi Joo-sun made a large personal stock purchase. This move signals strong confidence in the company's future performance and is viewed positively by investors. With the growing electric vehicle (EV) battery market, Samsung SDI’s competitive advantage continues to draw attention.

💰 USD/KRW Exchange Rate at 1,463.80, Volatility Continues

The USD/KRW exchange rate closed at 1,463.80, maintaining its volatile trajectory. Despite the U.S. Federal Reserve’s rate hold, the dollar remains strong, keeping the Korean won under pressure. While this benefits export-oriented companies, rising import costs could pose challenges for domestic businesses.

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💡 Key Corporate Developments

📌 Samsung Electronics Focuses on Next-Gen HBM4 Development

Samsung Electronics is accelerating the development of next-generation High Bandwidth Memory (HBM4), which could significantly enhance its semiconductor performance. As the AI and data center markets expand, rising demand for memory chips is expected to boost Samsung's revenue in the coming years.

🚗 Hyundai Unveils New EV to Expand Market Share

Hyundai Motor Company introduced a new electric vehicle (EV) model designed to enhance battery efficiency and increase its market share in the EV sector. This move aims to strengthen Hyundai's position in the global EV market, particularly amid increasing competition from international rivals.

💳 Kakao Pay Expands Overseas Payment Services

Kakao Pay is actively expanding its global fintech presence by enhancing overseas payment services. With plans to increase its market share in Southeast Asia and Europe, the company is expected to see long-term profitability improvements.

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🏆 Conclusion & Market Outlook

The Korean stock market exhibited mixed movements amid global economic uncertainties and domestic corporate earnings reports. While foreign and institutional investors helped lift large-cap stocks, growth stocks faced downward pressure.

Key factors to watch going forward include domestic and international economic data releases, corporate earnings reports, and global trade trends. Investors should closely monitor these developments and adjust their strategies accordingly.

 

Thank you for reading today’s update! Stay informed about global and Korean economic trends to make well-informed investment decisions. See you in the next report! 📈🇰🇷✨