Seoul: South Korean stocks fell Thursday due to escalating concerns over a possible tariff war threatened by U.S. President Donald Trump despite better-than-expected earnings from artificial intelligence chip giant Nvidia. The local currency sharply lost against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) dropped 19.34 points, or 0.73 percent, to close at 2,621.75.
According to Yonhap News Agency, trade volume was moderate at 504.5 million shares worth 10.4 trillion won (US$7.2 billion), with decliners outnumbering gainers 563 to 321. Foreign and institutional selling drove the daily decline, dumping a net 237.9 billion won and 279.2 billion won, respectively. Individuals, however, scooped up a net 484 billion won.
Experts noted that Trump's overnight statements on tariff plans weighed heavily on the financial market, overshadowing the better-than-expected quarterly results of Nvidia. Trump announced his administration will soon implement a 25 percent tariff on imports from Europe, although tariffs on Canadian and Mexican goods would be delayed for one month.
In Seoul, most stocks went south across the board. Market bellwether Samsung Electronics decreased 0.53 percent to 56,300 won and its chipmaking rival SK hynix slid 1.87 percent to 199,200 won. Leading pharmaceutical firm Celltrion sank 3.49 percent to 182,700 won, and top defense company Hanwha Aerospace dipped 3.42 percent to 649,000 won.
Food giant CJ Cheiljedang edged down 0.2 percent to 247,000 won, and top online portal operator Naver tumbled 5.4 percent to 219,000 won. However, Hybe, a record label behind global superstar BTS, rose 3.75 percent to 262,500 won, and discount store chain E-mart rose 2.79 percent to 77,300 won.
The local currency was quoted at 1,443 won against the greenback at 3:30 p.m., down 9.9 won from the previous session.