Seoul: South Korean stocks finished nearly 1 percent higher due to gains in bio and heavy industry sectors, breaking a two-day losing streak. This increase occurred despite overnight declines on Wall Street, with the local currency appreciating against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) rose by 23.78 points, or 0.91 percent, concluding the day at 2,625.58.
According to Yonhap News Agency, trade volume was moderate, with 367 million shares exchanged, amounting to 7.34 trillion won (US$5.29 billion). Gainers surpassed decliners by a count of 537 to 334. Market gains were primarily driven by foreign investors and institutions, who purchased a net 298.6 billion won, while individual investors sold a net 330.2 billion won.
In the U.S., all major stock indexes fell overnight. The Dow Jones Industrial Average decreased by 0.27 percent, the S and P 500 dropped 0.39 percent, and the Nasdaq composite lost 0.38 percent. This pause followed recent Wall Street gains and was attributed to a lack of influential market catalysts.
In Seoul, bio and heavy industry shares significantly contributed to overall gains. Samsung Biologics, a leading bio firm, saw its shares surge 7.11 percent to 1,100,000 won, while Hanwha Aerospace, a top defense equipment manufacturer, jumped 4.29 percent to 850,000 won. Additionally, financial and internet-related shares advanced, with KB Financial rising 1.77 percent to 98,000 won and Kakao, the top mobile messenger operator, adding 2.46 percent to close at 37,450 won.
Conversely, semiconductor and battery shares experienced declines. Samsung Electronics, a major market player, fell 0.36 percent to 55,700 won, and LG Energy Solution, a leading battery company, slipped 0.72 percent to 277,500 won. Auto shares also faced challenges, with Hyundai Motor, the industry leader, down 0.79 percent to 188,000 won, and its affiliate Hyundai Mobis decreasing 0.2 percent to 247,500 won.
The local currency was trading at 1,387.2 won against the greenback at 3:30 p.m., marking an increase of 5.2 won from the previous session. Bond prices, which move inversely to yields, closed lower. The yield on three-year Treasurys rose by 1.5 basis points to 2.345 percent, while the return on benchmark five-year government bonds increased by 3.1 basis points to 2.498 percent.