In spite of the weak beginning of the week, the KTB futures market finished the week with some strength due mainly to the return of capital into ITCs from banks as banks finished their book closing of the fiscal year 2001.
Against the downward trend of the previous week caused by the ultra-strong domestic stock markets, the KOFEX USD/KRW currency market represented its upward trend throughout the week.
KOSDAQ50 Index Futures Market
This week, the KOSDAQ cash market inched down amid brisk program transactions in the Korea Stock Exchange as the last trading day for the current month contract of the KOSPI200 options was near.
The KOSDAQ Comp. Index fell by 0.43 points or 0.57 percent to finish the week at 75.02 points during the week while the KOSPI lost by 20.36 points or 2.72 percent closing the week at 727.36 points due mainly to the slow upward movement of Dram price which gave an negative effect on the heightened expectation of an early recovery of domestic economy.
At the same time, the KOSDAQ50 futures market at KOFEX showed the similar slight downward movement during the week with some fluctuation. The current month contract KQ203 decreased by 1.85 points or 1.76 percent during the week finishing the week at 103.00 points.
The Major reasons for the correction of the KOSDAQ50 futures market are as follows:
- Huge amount of net selling in the two local stock markets by institutional and foreign investors amounting to 1,105.2 billion KRW and 151.7 billion KRW each during the week
- Weakened NASDAQ market falling by 36.92 points or 1.79 percent during the week at 2,022.46 points on Jan.11, Friday
