SEOUL– South Korean stocks extended gains late Thursday morning as investors picked up big-cap tech shares on hopes for a recovery of the chip industry cycle.
The benchmark Korea Composite Stock Price Index (KOSPI) had added 28.86 points, or 1.3 percent, to 2,244.08 as of 11:20 a.m.
The market opened higher despite overnight losses on Wall Street amid lingering fears over a global economic recession over aggressive monetary tightening in the United States and other major nations.
Some have voiced hope that the Federal Reserve could slow down its aggressive push for monetary policy tightening sooner than previously expected, given recent weak U.S. job market and other economic data.
In Seoul, most large-cap shares were trading higher, with tech shares leading the overall market gains.
Market bellwether Samsung Electronics jumped 1.25 percent, and chip giant SK hynix grew 1.11 percent.
Earlier, Morgan Stanley anticipated a recovery in the semiconductor cycle in the second half of next year and recommended bargain hunting in quality stocks.
Battery maker LG Energy Solutions surged 3.2 percent, and Samsung SDI soared 3.16 percent. LG Chem increased 3.57 percent.
Carmakers also rose, with top automaker Hyundai Motor adding 0.56 percent and its affiliate Kia moving up 0.14 percent.
Internet giant Naver rose 1.83 percent from a fresh 52-week low, and Kakao, the operator of the popular mobile messenger Kakao Talk, added 0.73 percent.
The Korean won was trading at 1,406.95 won against the U.S. dollar as of 11:20 a.m., up 3.15 won from the previous session’s close.
Source: Yonhap News Agency
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