April 20, 2024
Stocks & Bonds
Smaller caps outperformed large caps in H1
[THE INVESTOR] Korea‘s small- and medium-cap stocks performed better than large caps in the first half of the year, though the domestic stock marked fared badly due to external negatives, data showed June 17.
According to the data from the bourse operator Korea Exchange, the subindex for small caps -- those ranked below 300th place in terms of market value -- came to 2,380.38 as of June 15, up 15.74 percent from Jan. 2. The comparable figure for middle caps -- ranked between 101st and 300th -- climbed 4.98 percent during the cited period to reach 2,895.38.
In contrast, the subindex for large-cap stocks amounted to 2,299.60 as of June 15, down 5.24 percent from the start of this year.
During the same period, the benchmark KOSPI shed 3.05 percent to finish at 2,404.04, indicating that smaller caps helped prevent the index from going south further.
Market analysts said large-cap stocks had been hit hard by such unfavorable external factors as two U.S. rate hikes, rising international oil prices and an escalating trade row between the U.S. and China, the world’s two largest economies. Large-cap companies are generally considered more sensitive to external uncertainty and foreign exchange rates than small- and mid-cap stocks.
By Park Han-na and news wires (hnpark@heraldcorp.com)
According to the data from the bourse operator Korea Exchange, the subindex for small caps -- those ranked below 300th place in terms of market value -- came to 2,380.38 as of June 15, up 15.74 percent from Jan. 2. The comparable figure for middle caps -- ranked between 101st and 300th -- climbed 4.98 percent during the cited period to reach 2,895.38.
In contrast, the subindex for large-cap stocks amounted to 2,299.60 as of June 15, down 5.24 percent from the start of this year.
During the same period, the benchmark KOSPI shed 3.05 percent to finish at 2,404.04, indicating that smaller caps helped prevent the index from going south further.
Market analysts said large-cap stocks had been hit hard by such unfavorable external factors as two U.S. rate hikes, rising international oil prices and an escalating trade row between the U.S. and China, the world’s two largest economies. Large-cap companies are generally considered more sensitive to external uncertainty and foreign exchange rates than small- and mid-cap stocks.
By Park Han-na and news wires (hnpark@heraldcorp.com)
