Seoul:Seoul shares fell significantly on Monday, mirroring declines on Wall Street, as investors showed caution ahead of the upcoming third-quarter earnings reports from major chipmakers and the U.S. Federal Reserve's impending rate decision later in the week.
According to Yonhap News Agency, the Korean won appreciated against the U.S. dollar during this period. The Korea Composite Stock Price Index (KOSPI) experienced a decline, starting the day 0.92 percent lower and closing down 80.83 points, or 1.46 percent, at 5,469.47. This drop followed the trend set by the Dow Jones Industrial Average, which fell 1.23 percent, and the Nasdaq Composite, which decreased by 0.21 percent on Friday.
Investors are keenly awaiting the earnings reports from SK hynix and Samsung Electronics, scheduled for Wednesday and Thursday, respectively. These reports are expected to provide insights into the demand outlook for artificial intelligence (AI) chips and the pricing of memory products. Additionally, the market is closely monitoring the Federal Reserve's two-day policy meeting beginning Tuesday, where it is widely anticipated that the central bank will maintain current interest rates amidst ongoing inflationary pressures.
The trading session saw foreign investors selling a net 695.5 billion won (approximately US$526 million) in stocks. In contrast, institutions and individual investors purchased net amounts of 611 billion won and 47 billion won, respectively.