Seoul shares extend losses late Thu. morning amid rate hike woes

SEOUL– Seoul shares extended losses late Thursday morning as investors remain concerned that the U.S. Federal Reserve may keep its aggressive monetary tightening following solid economic data.

The benchmark Korea Composite Stock Price Index (KOSPI) fell 17.10 points, or 0.72 percent, to 2,365.71 as of 11:20 a.m.

The unexpectedly strong U.S. jobs report and service sector activity released early this week bolstered the case for the Fed to keep policy tightening to tame runaway inflation.

Fed Chair Jerome Powell said last week that the U.S. central bank could pivot to slower rate rises as soon as December.

Foreigners sold a net 212 billion won (US$160 million) worth of stocks, exceeding institutions and individuals’ stock purchases valued at 202 billion won.

In Seoul, most large-cap stocks declined.

Market bellwether Samsung Electronics Co. fell 0.2 percent, No. 2 chipmaker SK hynix Inc. declined 0.4 percent, leading home appliance maker LG Electronics Inc. dropped 1.2 percent, top carmaker Hyundai Motor Co. shed 1 percent, and the country’s sole aircraft manufacturer Korea Aerospace Industries Co. was down 0.1 percent.

Among gainers, No. 2 wireless services provider KT Corp. rose 0.1 percent, and the country’s leading internet portal Naver Corp. climbed 0.5 percent.

The local currency was trading at 1,321.25 won against the greenback as of 11:20 a.m., up 0.45 won from the previous day’s close.

Source: Yonhap News Agency

scroll to top