Seoul: South Korean stocks traded sharply higher late Monday morning as foreign investors purchased blue chip tech and auto shares. The benchmark Korea Composite Stock Price Index (KOSPI) added 48.25 points, or 1.72 percent, to 2,860.3 as of 11:20 a.m., as foreigners net purchased 335.9 billion won (US$250 million) worth of local shares.
According to Yonhap News Agency, Wall Street gained ground on Friday due to better-than-expected U.S. jobs data, alleviating investors' concerns of an economic slowdown in the world's largest economy. Market attention is now focused on the second round of high-level trade negotiations between Washington and Beijing, set to commence later in the day in London, which could potentially reduce uncertainties in the global trade market.
In Seoul, market bellwether Samsung Electronics increased by 2.2 percent, while its chipmaking rival SK hynix jumped 2.67 percent. Top automaker Hyundai Motor surged 4.22 percent, and its sister company Kia advanced 2.36 percent. Hyundai's auto parts-making affiliate, Hyundai Mobis, soared 10.04 percent.
IT shares were also on the rise, with top internet portal operator Naver climbing 3.97 percent, and Kakao, the operator of the country's dominant mobile messenger, shooting up 13.54 percent. Conversely, major defense firm Hanwha Aerospace dipped 2.65 percent, and shipbuilder Hanwha Ocean slid 3.08 percent. Major battery maker LG Energy Solution lost 1.2 percent.
The local currency was trading at 1,358.3 won against the greenback at 11:20 a.m., up by 1 won from the previous session.