South Korean shares drop as US ramps up trade pressure ahead of tariff deadline
- The benchmark KOSPI was down 45.97 points, or 1.49%, at 3,044.09
SEOUL: Round-up of South Korean financial markets:
South Korean shares fell on Wednesday as US President Donald Trump stepped up his rhetoric and increased pressure for trade deals to be finalised before a July 9 tariff deadline. The won weakened, while the benchmark bond yield rose.
The benchmark KOSPI was down 45.97 points, or 1.49%, at 3,044.09, as of 0238 GMT.
Among index heavyweights, chipmaker Samsung Electronics rose 0.58%, while peer SK Hynix lost 3.68%. Battery maker LG Energy Solution climbed 0.67%.
Trump expressed frustration with US-Japan trade negotiations on Monday as Treasury Secretary Scott Bessent warned that countries could be notified of sharply higher tariffs as the deadline approaches despite good-faith negotiations.
South Korea's consumer inflation accelerated in June to its fastest pace since January this year, government data showed on Wednesday, beating market expectations.
Hyundai Motor and sister automaker Kia Corp were up 1.43% and up 0.81%, respectively. Steelmaker POSCO Holdings added 0.91%, while drugmaker Samsung BioLogics rose nearly 1%.
Of the total 935 traded issues, 223 shares advanced, while 685 declined.
Foreigners were net sellers of shares worth 333.4 billion won.
The won was quoted at 1,361.8 per dollar on the onshore settlement platform, 0.21% lower than its previous close at 1,359.0.
In offshore trading, the won was quoted at 1,361.8 per dollar, down 0.4% on the day, while in non-deliverable forward trading its one-month contract was quoted at 1,359.1.
The KOSPI index has risen 26.86% so far this year.
In money and debt markets, September futures on three-year treasury bonds lost 0.05 point to 107.22.
The most liquid three-year Korean treasury bond yield rose 0.9 basis points to 2.464%, while the benchmark 10-year yield rose by 0.2 basis points to 2.789%.