South Korean shares track Wall Street higher on rate-cut hopes
- The benchmark KOSPI was up 31.40 points, or 0.99%, at 3,200.13
SEOUL: Round-up of South Korean financial markets:
South Korean shares rose on Monday, tracking Wall Street rally on optimism the Federal Reserve will cut interest rates following comments by Chairman Jerome Powell. The won weakened, while the benchmark bond yield fell.
The benchmark KOSPI was up 31.40 points, or 0.99%, at 3,200.13 as of 0220 GMT.
Among index heavyweights, chipmaker Samsung Electronics was flat, while peer SK Hynix gained 3.39%. Battery maker LG Energy Solution climbed 2.45%.
** Federal Reserve Chair Jerome Powell on Friday signaled a possible interest rate cut at the US central bank’s meeting next month, saying that risks to the job market were rising but also noting inflation remained a threat and that a decision wasn’t set in stone.
The S&P 500 and Nasdaq Composite rose 1.5% and 1.7%, respectively. The Dow Jones Industrial Average jumped 2.2% to a record intraday high.
Hyundai Motor and sister automaker Kia Corp were up 0.23% and down 0.67%, respectively. Steelmaker POSCO Holdings added 1.67%, while drugmaker Samsung BioLogics was flat.
Of the total 934 traded issues, 599 shares advanced, while 265 declined.
Foreigners were net sellers of shares worth 29.4 billion won ($21.2 million).
The won was quoted at 1,387.8 per dollar on the onshore settlement platform, 0.31% lower than its previous close at 1,383.5.
In offshore trading, the won was quoted at 1,387.3 per dollar, down 0.3% on the day, while in non-deliverable forward trading its one-month contract was quoted at 1,384.6.
The KOSPI has risen 33.37% so far this year.
In money and debt markets, September futures on three-year treasury bonds gained 0.07 point to 107.32.
The most liquid three-year Korean treasury bond yield fell by 2.0 basis points to 2.436%, while the benchmark 10-year yield fell by 1.5 basis points to 2.840%.