South Korean shares track Wall Street lower after US inflation data
South Korean shares fell on Wednesday, tracking Wall Street's losses on U.S. inflation data. The won strengthened, while the benchmark bond yield rose.
The benchmark KOSPI was down 18.13 points, or 0.56%, at 3,197.15 as of 0147 GMT, after hitting a near four-year high on Tuesday.
U.S. consumer prices increased by the most in five months in June amid higher costs for some goods, suggesting tariffs were starting to have an impact on inflation and potentially keeping the Federal Reserve on the sidelines until September.
South Korea's finance minister nominee said he would bring regulatory improvements to the foreign exchange market, according to a media report.
Among index heavyweights, chipmaker Samsung Electronics rose 0.63%, but peer SK Hynix lost 1.51%. Battery maker LG Energy Solution slid 1.18%.
Hyundai Motor and sister automaker Kia Corp were down 0.83% and 0.60%, respectively. Steelmaker POSCO Holdings shed 2.73%, while drugmaker Samsung BioLogics fell 0.19%.
South Korean shares close at near four-year high as Samsung Electronics jumps
Of the total 932 traded issues, 224 shares advanced, while 664 declined.
Foreigners were net sellers of shares worth 280.0 billion won ($201.95 million).
The won was quoted at 1,386.3 per dollar on the onshore settlement platform, 0.14% higher than its previous close at 1,388.2.
In money and debt markets, September futures on three-year treasury bonds lost 0.03 point to 107.15.
The most liquid three-year Korean treasury bond yield rose 0.9 basis point to 2.472%, while the benchmark 10-year yield rose 2.0 bps to 2.895%.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Recorder
an hour ago
- Business Recorder
Iron ore extends gains on China stimulus hopes
SINGAPORE: Iron ore futures prices rose on Tuesday, buoyed by expectations of further stimulus after Beijing unveiled a $170 billion hydropower project to boost economic growth. The most-traded September iron ore contract on China's Dalian Commodity Exchange (DCE) traded 1.74% higher at 817 yuan ($113.93) a metric ton, as of 0313 GMT. The benchmark August iron ore on the Singapore Exchange was 0.89% higher at $104.4 a ton. 'Iron ore futures extended recent gains amid prospects of additional stimulus measures, with Beijing's announcement of the $170 billion hydropower project promising to deliver a positive economic boost for steel,' ANZ analysts said in a note. The move has also sparked optimism that the government may be reverting to traditional fiscal stimulus strategies to bolster economic growth, ANZ added, with positive sentiment further supported by ongoing efforts to reduce excessive competition and overcapacity in the steel industry. Hot metal output, an indicator of iron ore demand, remained high according to analysts. On the supply front, shipment volumes from top producers remained mixed, with Australia volumes continuing to decline while Brazil's volumes rebounded, said broker Everbright Futures. Meanwhile, Chinese steelmakers are bypassing tariffs by exporting semi-finished steel billets, which are not subject to the same trade restrictions as finished steel products in many countries. This strategy has contributed to the sharp rise in exports from the world's largest steel producer. Despite robust exports, researchers noted that in order to reach its decarbonisation target for the year, China must reduce its steel output from the coal-powered blast furnace process. Other steelmaking ingredients on the DCE gained ground, with coking coal and coke surging 5.97% and 2.96%, respectively. Steel benchmarks on the Shanghai Futures Exchange all increased. Rebar rose 0.75%, hot-rolled coil climbed 0.98%, wire rod gained 1.23% and stainless steel edged up 0.08%.
Business Recorder
an hour ago
- Business Recorder
Wheat futures decline
CANBERRA: Chicago wheat futures fell on Tuesday as top exporter Russia began to ship grain from its new crop, underscoring expectations of plentiful supply in the months ahead. Corn and soybean futures rose slightly, clawing back some of the previous session's losses amid a mixed weather outlook in the United States. The most active wheat contract on the Chicago Board of Trade (CBOT) was down 0.4% at $5.40 a bushel at 0253 GMT, hovering close to the five-year low of $5.06-1/4 hit in May. The first wheat from Russia's new crop has arrived, and although Russian export prices have risen in recent weeks, the overall harvest is expected to be large, at around 83-84 million metric tons. In the United States, the Department of Agriculture (USDA) said the winter wheat harvest was 73% complete as of Sunday, and 52% of spring wheat was in good-to-excellent condition. Higher corn prices due to emerging weather risks have supported wheat, said Commonwealth Bank analyst Dennis Voznesenski, but 'it doesn't typically make sense for prices to move higher during harvest.'
Business Recorder
an hour ago
- Business Recorder
Gold retreats from five-week high
NEW YORK: Gold eased on Tuesday as investors booked profits after prices scaled a five-week high, while market participants focused on trade talks ahead of US President Donald Trump's August 1 deadline. Spot gold fell 0.2% to $3,388.13 per ounce by 1120 GMT. Earlier in the day, bullion hit its highest since June 17. US gold futures were down 0.3% at $3,397.80. While prices were lower amid profit-booking, they remained close to the five-week high due to uncertainty ahead of Trump's August 1 tariff deadline, said Jigar Trivedi, a senior commodity analyst at Reliance Securities. 'Gold is likely to stay bullish. A strong resistance is seen near $3,420. On the flip side, $3,350 is a support,' he said. The US dollar index steadied against its rivals. A stronger dollar makes greenback-priced gold more expensive for other currency holders. European Union diplomats said the bloc was exploring broader counter-measures against the United States as prospects for a trade agreement with Washington diminished. Trump has threatened 30% tariffs on European imports if no deal is reached before the August 1 deadline. US Treasury Secretary Scott Bessent said the administration prioritised the quality of trade deals over timing. Focus is also on the US Federal Reserve's monetary policy meeting scheduled for next week, where the central bank is expected to hold interest rates steady for now and potentially begin cuts in October. Gold tends to perform well in a low-interest-rate environment and during times of geopolitical and economic uncertainty. Spot silver lost 0.2% to $38.86 per ounce, platinum added 0.2% to $1,440.47 and palladium declined 0.9% to $1,253.65. Russia's Nornickel, the leading global producer of palladium, lowered its palladium output forecast, now expecting between 2.677 and 2.729 million ounces compared with the earlier estimate of 2.704-2.756 million ounces.
