Seoul: Seoul shares extended losses late Monday morning, driven by declines in technology stocks and concerns over upcoming U.S. tariffs affecting investor sentiment. The benchmark Korea Composite Stock Price Index (KOSPI) dropped 14.33 points, or 0.54 percent, reaching 2,640.25 as of 11:20 a.m.
According to Yonhap News Agency, U.S. stocks experienced their worst session of the year last Friday due to lackluster economic data. The Dow Jones Industrial Average fell 1.69 percent, while the Nasdaq composite, which is heavily weighted towards technology, declined by 2.2 percent.
Investors are increasingly worried about the impact of new tariffs on various industries, including automobiles, semiconductors, and pharmaceuticals, with announcements expected in the coming month. The U.S. government has already imposed a 25 percent tariff on steel and aluminum imports, adding to these concerns.
In Seoul, the technology and automotive sectors experienced significant declines. Samsung Electronics, a market leader, fell by 1.2 percent, and SK hynix, the second-largest chipmaker, declined by 3.82 percent. Hyundai Motor, a top car manufacturer, saw a drop of 0.73 percent, while Korean Air, the national flag carrier, decreased by 0.61 percent.
However, some companies saw gains. HMM, a leading shipping company, surged by 12.21 percent, and LG Energy Solution, a major battery manufacturer, rose by 1.59 percent. Meanwhile, the local currency was trading at 1,429.55 won against the U.S. dollar at 11:20 a.m., down 4.75 won from the previous session.