SEOUL — The Korea Composite Stock Price Index (KOSPI) opened higher on Wednesday, gaining 5.20 points, or 0.19 percent, to reach 2,743.39 in the early trading session, buoyed by expectations of an upcoming rate cut by the U.S. Federal Reserve.
According to Yonhap News Agency, the optimistic opening followed a mixed performance on Wall Street, where the Dow Jones Industrial Average saw an increase of 0.5 percent, reaching 40,743.33 points, though the Nasdaq fell by 1.3 percent to 17,147.42. The focus remains keenly on the Fed's policy decision due this Wednesday (U.S. time) and the earnings outcomes from major tech companies like Apple Inc. and Amazon.com Inc. With signs of inflation cooling, there is widespread speculation that the U.S. central bank could initiate rate cuts as early as September.
In Seoul, sectors such as automotive and technology led the gains. Notable companies such as Samsung Electronics Co. saw a rise of 1.2 percent, while Hyundai Motor Co. climbed by 0.6 percent. Conversely, LG Energy Solution Ltd. and POSCO Holdings experienced declines, dropping by 1.4 percent and 1.7 percent, respectively. The local currency, the won, strengthened against the U.S. dollar, trading at 1,384.05 won, up by 1.25 won from the previous session’s close.