South Korea shares rise as Fed rate hike eases uncertainty
- The benchmark KOSPI was up 28.08 points, or 0.42%, at 6,746.05
SEOUL: Round-up of South Korean financial markets:
South Korean shares rose on Thursday even as the US raised interest rates for the first time since 2023 as Federal Reserve Chair Kevin Warsh’s resolve to tackle inflation eased some uncertainties.
The won weakened, while the benchmark bond yield fell.
The benchmark KOSPI was up 28.08 points, or 0.42%, at 6,746.05 as of 03:46 GMT. Chipmaker Samsung Electronics rose 0.20%, while peer SK Hynix lost 0.40%.
The Fed raised rates on Wednesday and flagged more hikes in the coming months, joining a unanimous decision that effectively acknowledges the Trump administration’s inability so far to control inflation that policymakers worry could worsen.
Among other index heavyweights, battery maker LG Energy Solution slid 0.27%, while Hyundai Motor and sister automaker Kia Corp were unchanged and down 0.50%, respectively.
Steelmaker POSCO Holdings added 0.15%, while drugmaker Samsung BioLogics fell 1.14%.
Of the total 912 traded issues, 459 shares advanced, while 404 declined. Foreigners were net sellers of shares worth 1,243.6 billion won.
The won was quoted at 1,380.0 per dollar on the onshore settlement platform, 0.22% lower than its previous close at 1,377.0.
The KOSPI has risen 60.08% so far this year.
The won has strengthened 4.3% against the dollar so far this year.
In money and debt markets, December futures on three-year treasury bonds lost 0.11 point to 102.08. The most liquid three-year Korean treasury bond yield rose by 4.9 basis points to 4.087%, while the benchmark 10-year yield fell by 1.1 basis points to 4.542%.
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