South Korea shares close down amid Nvidia leadership uncertainty

SEOUL: Round-up of South Korean financial markets:

South Korean shares fell on Thursday amid uncertainty surrounding Nvidia’s leadership.

The won strengthened, while the benchmark bond yield fell.

The benchmark KOSPI closed down 32.63 points, or 0.61%, at 5,342.73.

Chipmaker Samsung Electronics rose 0.97%, while peer SK Hynix lost 1.80%. The Nasdaq and S&P 500 ended Wednesday more than 1% higher and the S&P 500 technology sector was up 2.7%.

Tech stocks rebounded after a selloff following last week’s US midterm elections, driven by concerns over tighter AI regulation and the sustainability of the sector’s rally.

Nvidia’s board is met on Wednesday to decide whether to oust CEO Jensen Huang, a source familiar with the matter told Reuters, as the world’s dominant supplier of AI processors grapples with reports of two extramarital affairs involving its longtime leader.

Among other index heavyweights, battery maker LG Energy Solution slid 1.79%, while Hyundai Motor and sister automaker Kia Corp were down 2.20% and down 1.06%, respectively.

Steelmaker POSCO Holdings shed 0.54%, while drugmaker Samsung BioLogics rose 1.33%.

Of the total 911 traded issues, 271 shares advanced, while 595 declined.

Foreigners were net buyers of shares worth 374.6 billion won.

The won was quoted at 1,333.9 per dollar on the onshore settlement platform, 0.27% higher than its previous close at 1,337.5.

In offshore trading, the won was quoted at 1,334.6 per dollar, up 0.3% on the day, while in non-deliverable forward trading its one-month contract was quoted at 1,333.0.

The KOSPI has risen 26.78% so far this year. In money and debt markets, December futures on three-year treasury bonds lost 0.01 point to 103.50.

The most liquid three-year Korean treasury bond yield was flat at 3.733%, while the benchmark 10-year yield fell by 2.9 basis points to 3.923%.