Seoul shares open higher on chip, heavy machinery gains
South Korean stocks opened higher Thursday, boosted by gains in semiconductors, heavy industry, and blue-chip shares. This upbeat start came despite a mixed finish on Wall Street overnight.
The benchmark Korea Composite Stock Price Index (KOSPI) rose 23.05 points, or 0.83 percent, to 2,793.89 in early trading. The market built on Wednesday's 2.66 percent surge, which followed the inauguration of President Lee Jae-myung. Lee's election came after the ousting of former conservative President Yoon Suk Yeol, who was removed in December following a failed attempt to declare martial law.
Investor sentiment in Seoul was more positive than in the US, where markets responded cautiously to economic data. The Institute for Supply Management reported its Services Purchasing Managers' Index fell to 49.9 in May, slipping below the 50-point mark for the first time since June 2023, suggesting a contraction.
The Dow Jones Industrial Average fell 0.22 percent. The S&P 500 rose 0.32 percent, and the Nasdaq edged up 0.01 percent.
Leading South Korean stocks advanced. Samsung Electronics gained 0.61 percent, and chip rival SK hynix jumped 3.56 percent. Hanwha Aerospace rose 3.67 percent, HD Hyundai Heavy Industries added 1.4 percent, and POSCO Holdings climbed 3.26 percent.
In contrast, bio and battery stocks declined. Samsung Biologics dipped 0.19 percent, and LG Energy Solution slipped 0.17 percent.
The Korean won strengthened against the US dollar, trading at 1,360.90 won as of 9:15 a.m., up 8.6 won from the previous close. (Yonhap)
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