[Seoul = Newsis] On the 5th, while steel and special steel-related stocks showed mixed trends during the trading session, a differentiated trend is emerging as buying interest flows in, centered on some special steel companies.

On this day, Daeho Special Steel and Hanil Steel showed strength in the steel sector. Daeho Special Steel traded at 1,026 won, up 2.19% from the previous day, and Hanil Steel also recorded 4,805 won, up 2.78%. Korea Special Steel also maintained a strong position at 2,195 won, up 1.62%.

On the other hand, most small and mid-cap steel stocks failed to escape weakness. Hyundai B&G Steel, Manho Steel, and TCC Steel fell by 3.41%, 3.56%, and 4.48%, respectively. The declines were even larger for Fine Bestill (-5.62%), Shin Steel (-6.21%), and Geumgang Steel (-6.32%). Steel pipe and steel processing-related stocks also underperformed. Huesteel, Nexsteel, and Histeel fell by 1.89%, 2.79%, and 3.06%, respectively, reflecting a contraction in investment sentiment across the entire industry.

The market analyzes that recent concerns over a global economic slowdown and raw material price volatility are negatively affecting investment sentiment across the entire steel sector. In particular, as the aversion to risk assets expands throughout the domestic stock market, it is analyzed that selling pressure on small and mid-cap steel stocks is increasing.

However, as expectations for demand in downstream industries such as automobiles, shipbuilding, defense, and industrial machinery are highlighted, some special steel companies are showing a relatively stable trend. Special steel is evaluated to have a higher proportion of high value-added products compared to general steel products, meaning the benefit scale could be large upon an industrial economic recovery.

Within the industry, the recent boom in the shipbuilding and defense sectors is also being cited as an investment point for steel stocks. This is because the potential for expanded demand for shipbuilding thick plates and industrial special steel is continuously being raised.

A securities industry official advised, "The steel sector, due to its nature as a cyclical industry, can have high short-term volatility, but companies linked to the expansion of shipbuilding, defense, and infrastructure investments are likely to show differentiated trends," adding, "It is necessary to simultaneously monitor whether performance improves and the trend of order receipts."

[※ This article was written for the purpose of providing investment information, and the investment decision and responsibility lie with the investor. AI was partially utilized in the writing process of this article.]