U.S. Job Market Strength Reignites Rate Hike Fears, New York Stocks Fall, KOSPI Attempts to Settle Around 6,600 Level
1. Global Market Trends and U.S. Employment Data Shock
On the 4th (local time), the increase in U.S. non-farm jobs in August significantly exceeded market expectations, raising concerns about the possibility of the Federal Reserve (Fed) raising interest rates. As a result, the three major New York stock indices all closed lower. The Dow Jones index fell by 0.51%, and the Nasdaq index fell by 0.29% to close trading. Market attention is focused on the upcoming Consumer Price Index (CPI) and Producer Price Index (PPI) data.
2. Domestic Market Closing Price Trends
The domestic stock market has shown mixed performance recently. As of September 4, 2026, the KOSPI index closed at 6,687.21. The KOSPI rose to a high of 6,977.94 on August 14th, but has since fallen to the 6,500 level and is now attempting a gradual recovery. The closing price trend of KOSPI over the past 20 days can be seen in the following chart.
Meanwhile, the KOSDAQ index closed at 813.50 on September 4th, successfully rebounding from the previous day's close of 790.21.
3. Investor Supply and Demand Flows and Trading Trends
Extreme changes in supply and demand have been observed in the KOSPI market recently. Particularly on September 4th, foreigners recorded net purchases of 479.608 billion won, and institutions recorded net purchases of 1,669.408 billion won, driving the market higher, while individuals strongly sold 3,722.938 billion won. The net purchase trends by investor type in the KOSPI market over the past 10 days are as follows.
Similarly, in the KOSDAQ market on September 4th, individuals sold net 412.510 billion won (412,510,363,695 won), while foreigners and institutions made combined net purchases of 259.853 billion won (259,853,072,151 won) and 160.933 billion won (160,932,961,083 won) respectively, showing improved supply and demand dynamics.
4. Corporate Credit Ratings and Major News
Changes in the credit ratings of domestic companies have been detected. NICE Credit Rating downgraded the senior corporate bond rating of Willbiz Corp. from CCC to D on September 4th, with a Stable outlook. Meanwhile, Korea Rating Corporation evaluated the corporate bond rating of Korean Air as A (Positive), and rated the corporate bonds of Korea Water Resources Corporation and Seoul Housing and Urban Development Corporation as the highest rating of AAA (Stable).
In overall industry news, it was reported that Hyundai Steel has joined hands with POSCO, Hyundai Motor, Kia, and others to break ground for the construction of an electric arc furnace (HPLS) in Louisiana, USA. In the semiconductor sector, global investment bank Nomura evaluated Samsung Electronics (target price 670,000 won) and SK Hynix (target price 4,700,000 won) as undervalued relative to strong memory demand.
5. Sources and Data Limitations
This briefing is based on materials from the Korea Exchange (KRX), NICE Credit Rating, Korea Rating Corporation, and various media reports. The data and figures included are based on a data snapshot at a specific point in time, so they may differ from real-time prices and may be subject to revision due to trading delays or corrections. This information does not constitute any investment recommendation, and responsibility for investment results rests with the individual.