South Korean shares set to snap 7-week losing streak on AI optimism
- The benchmark KOSPI was up 55.55 points, or 0.82%, at 6,868.89
SEOUL: Round-up of South Korean financial markets:
South Korean shares looked set to snap a seven-week decline on Friday, rising to their highest level in three weeks as chipmakers gained on AI optimism.
The benchmark KOSPI was up 55.55 points, or 0.82%, at 6,868.89 as of 0132 GMT, after rising as much as 2.9% earlier in the session.
The index cut gains on caution ahead of a public holiday on Monday.
It was the tech-heavy index’s fifth straight session of gains, rising 9.4% during the period, after losing almost 31% over the previous seven weeks. Market volatility has decreased in recent days.
The volatility index stood at 56 on Friday, versus a record high of 98 in late June.
The S&P 500 notched a record-high close on Thursday, fuelled by advances in technology stocks, as tame producer price inflation data supported expectations the Federal Reserve will not raise interest rates at its September meeting.
Among KOSPI heavyweights, chipmaker Samsung Electronics fell 0.37%, after rising more than 2% earlier, while peer SK Hynix gained 3.01%. Battery maker LG Energy Solution slid 1.37%.
Hyundai Motor and sister automaker Kia Corp were up 5.73% and up 1.97%, respectively. Steelmaker POSCO Holdings added 1.08%, while drugmaker Samsung BioLogics fell 1.09%.
Of the total 903 traded issues, 453 shares advanced, while 420 declined.
Foreigners were net buyers of shares worth 780.2 billion won ($550.81 million).
The won was quoted at 1,416.3 per dollar on the onshore settlement platform, 0.16% higher than its previous close at 1,418.6.
In money and debt markets, September futures on three-year treasury bonds gained 0.04 point to 103.33.
The most liquid three-year Korean treasury bond yield fell by 0.6 basis points to 3.774%, while the benchmark 10-year yield fell by 1.1 basis points to 4.282%.