Seoul: Seoul shares increased by more than 1 percent, closing above the 4,000 point mark on Wednesday. This rise in investor sentiment came after the Bank of Korea (BOK) announced that the economy expanded at its fastest pace in nearly four years during the third quarter, driven by strong exports. The Korean won also rose against the U.S. dollar.
According to Yonhap News Agency, the benchmark Korea Composite Stock Price Index (KOSPI) gained 41.37 points, or 1.04 percent, ending the session at 4,036.3. This marked the first time the index closed above 4,000 since November 20. Despite the positive performance, trade volume remained low at 286 million shares, valued at 13 trillion won (approximately US$8.85 billion). Advancing stocks outnumbered declining ones, with 653 gainers compared to 227 losers.
Foreign investors purchased a net 158.9 billion won worth of local shares, while individual investors sold a net 898.7 trillion won. Institutional investors were net buyers, acquiring 756.9 billion won.
The central bank reported that real gross domestic product (GDP) increased by 1.3 percent from the previous quarter in the July-September period, which is 0.1 percentage point higher than earlier estimates. “Amid the impact of tariff issues and global uncertainties, the South Korean economy has shown signs of recovery, prompting stronger demand for risky assets,” said Lee Kyoung-min, an analyst at Daishin Securities.
Top tech company Samsung Electronics saw a 1.06 percent rise to 104,500 won, while LG Energy Solution increased by 0.72 percent to 418,000 won. However, SK hynix, the second-largest chipmaker, experienced a decline of 1.08 percent to 552,000 won.
Samsung C and T experienced a significant increase of 9.35 percent to 245,500 won after announcing in a regulatory filing that Hong Ra-hee plans to transfer her entire 1.06 percent stake in the trading firm to her son, Samsung Electronics Chairman Lee Jae-yong.
Hanwha Aerospace rose by 5.1 percent to 866,000 won amid reports that Spain is considering the defense company for its self-propelled howitzer program.
By the close of the session, the local currency was quoted at 1,468 won against the greenback, reflecting an increase of 0.4 won from the previous session.