Seoul: South Korean stocks opened slightly lower Wednesday despite overnight U.S. stocks gains boosted by eased Middle Eastern tensions and hopes of an early interest rate cut. The benchmark Korea Composite Stock Price Index (KOSPI) shed 1.31 points, or 0.04 percent, to 3,102.33 in the first 15 minutes of trading.
According to Yonhap News Agency, Wall Street gained ground as investors focused on easing tensions in the Middle East following the ceasefire between Israel and Iran, and the possibility of an early interest rate cut raised by U.S. Federal Reserve Chair Jerome Powell during a testimony at the U.S Congress.
In Seoul, overall losses were led by bio and battery shares. Top bio company Samsung Biologics fell 1 percent, and leading battery manufacturer LG Energy Solution lost 1.5 percent. Financial and internet portal shares also retreated, with Kookmin Financial dropping 2.14 percent, and top portal operator Naver slumping 3.1 percent.
In contrast, semiconductor shares continued their upward momentum from the previous session. Market heavyweight Samsung Electronics and chip rival SK hynix rose 0.5 percent and 2.69 percent, respectively. Kakao Pay also surged 14.18 percent on hopes that the online lender could benefit from the government's push to adopt won-pegged stablecoins.
The local currency was trading at 1,357.25 won against the greenback at 9:15 a.m., up 2.95 won from the previous session.