Seoul: South Korean stocks extended their winning streak to a sixth consecutive day, climbing more than 1.5 percent to close at a record high. The gains were led by chipmakers and automakers, despite renewed concerns over global trade tensions. The Korean won, however, fell against the U.S. dollar.
According to Yonhap News Agency, the benchmark Korea Composite Stock Price Index (KOSPI) increased by 59.84 points, or 1.56 percent, closing at 3,883.68. Trade volume was moderate, with 588.5 million shares traded, valued at 15.1 trillion won (approximately US$10.6 billion). Winners outnumbered losers 635 to 247.
Institutional investors were net buyers, acquiring shares worth 762.3 billion won. In contrast, individual and foreign investors sold shares worth 54.2 billion won and 724.9 billion won, respectively. The index had been on a bull run since last Wednesday, driven by optimism regarding easing trade tensions between the United States and China.
The market initially opened lower due to renewed uncertainty about the upcoming U.S.-China summit, following comments from U.S. President Donald Trump. However, the market turned bullish in the afternoon, supported by strong performances in chipmakers, automakers, battery, and bio shares.
An analyst at Daeshin Securities, Lee Kyung-min, noted that the domestic market opened weak due to profit-taking in global markets the previous day, but a buying force rotated into undervalued sectors, driving the index higher.
Most market heavyweights ended in positive territory. Leading battery maker LG Energy Solution rose 4 percent to 454,000 won, while LG Chem surged 13.01 percent to 391,000 won, marking its steepest rise in five years after a report from global hedge fund Palliser Capital.
Chip giant Samsung Electronics increased 1.13 percent to 98,600 won, with rival SK hynix also climbing 0.52 percent to 481,500 won. Auto shares performed well, with top carmaker Hyundai Motor rising 1.75 percent to 261,000 won and its affiliate Kia climbing 1.99 percent to 118,100 won.
Defense company Hanwha Aerospace increased 3.39 percent to close at 1,007,000 won, and leading shipbuilder HD Hyundai rose 3.2 percent to 581,000 won. The Korean won was quoted at 1,430.25 won against the U.S. dollar as of 3:30 p.m., down 2.45 won from the previous session's close.