Seoul: South Korean stocks traded higher late Monday morning as the first high-level tariff negotiations between the United States and China boosted optimism that the two countries may reach a trade deal. The benchmark Korea Composite Stock Price Index (KOSPI) had added 15.06 points, or 0.58 percent, to 2,592.33 as of 11:20 a.m.
According to Yonhap News Agency, Washington and Beijing held a two-day trade dialogue in Geneva from Saturday (local time) to discuss tariff and other trade issues. Both sides have yet to issue an official statement on the results of the talks, but U.S. Treasury Secretary Scott Bessent has said a deal had been reached with China to cut the U.S. trade deficit, touting "substantial progress." The Chinese delegation also said in a news conference that it held a "constructive" dialogue with the U.S. The two countries are expected to release a joint statement on the details of the negotiations later in the day.
In Seoul, market heavyweight Samsung Electronics rose 1.46 percent, and its chipmaking rival SK hynix jumped 2.42 percent. Top automaker Hyundai Motor climbed 1.74 percent, and its sister, Kia, advanced 2.13 percent. Major plant constructor Doosan Enerbility jumped 6.1 percent after sliding last week due to a delay in South Korea's nuclear power plant deal with Czech Republic.
On the other hand, bio and shipbuilding shares were trading lower. Samsung Biologics slid 3.94 percent, and Celltrion tumbled 3.86 percent. Leading shipbuilders HD Hyundai Heavy and Hanwha Ocean lost 0.48 percent and 1.88 percent, respectively. HD Korea Shipbuilding slipped 2.47 percent. Defense giant Hanwha Aerospace also lost 3.99 percent.
The local currency was trading at 1,399.8 won against the U.S. dollar at 11:20 a.m., up 0.2 won from the previous session.