Financial Stocks‍ Plummet in‍ U.S. ⁤Market, Foreigners Turn ⁣to Net Sellers

Domestic financial ⁤stocks have experienced a sharp decline,‍ with financial ‌holding ​companies, insurance, and securities companies all failing to⁣ avoid ⁣the downward ​trend. This downturn‍ is attributed to foreign investors’ capital outflow, triggered by the decline in financial ⁤stocks⁢ in the U.S. stock ⁤market.

According to the Korea Exchange, major financial groups such as KB Financial Group (-6.03%), ⁢Shinhan Financial Group (-6.18%), Hana Financial Group ⁣(-6.5%), and Woori ‌Financial Group​ (-4.36%) all saw significant declines.

Additionally, Hanwha Investment &⁢ Securities (-4.27%), Kiwoom Securities (-5.3%), and‌ Mirae Asset Securities (-3.41%) fell by 3-4%, while insurance companies like Samsung⁣ Life Insurance (-3.81%), DB ⁢Insurance ‌(-4.8%), Hanwha‌ Life Insurance (-4.12%), and Hanwha General Insurance (-3.39%) ‌also experienced substantial losses.

The primary ‌reason ‌for​ this ⁢downturn​ is the large-scale net selling by​ foreign investors. On the same day, foreigners net sold KB Financial Group ⁢stocks worth 34.6 billion won, ranking as the sixth​ largest‍ net‌ foreign selling amount ⁤among domestic stocks. Hana Financial Group (7th ⁤place, 34.3 billion won)⁣ and Woori Financial Group (10th place, 12.7 billion won)​ followed suit.

The sharp decline in financial⁢ stocks in the U.S. stock market is cited as the reason for the outflow of foreign capital. Goldman Sachs’ forecast on ‍the 9th ​(local time) predicted a 10% decrease ‍in trading revenue ⁣for the third quarter, while JP Morgan Chase also lowered its ​expectations for interest income⁣ on the same day.

As a⁤ result, Goldman ‌Sachs fell 4.39% and ⁣JP Morgan Chase ‍fell ​5.19%. This downturn is interpreted as⁣ a ​result of the outlook that‌ if⁢ the global economic slowdown‍ becomes⁣ a reality, it‍ will ‌have a negative‍ impact on the profitability of financial companies.

The decline in securities and insurance stocks also appears to⁢ be the result of foreign capital outflow. ‌Among the ‌stocks with the largest declines, Kiwoom Securities saw a ⁣net selloff of over 2.7 ⁤billion won by foreigners on ⁢the day, and Samsung Life Insurance also saw a‌ net selloff of ‌2.4⁢ billion won.