Seoul shares rebounded Tuesday from a two-day loss on the back of the eased banking crisis in the wake of tightening monetary policies in major economies. The Korean won rose against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) advanced 25.72 points, or 1.07 percent, to close at 2,434.94 points.
Trading volume was moderate at about 516 million shares worth some 8.6 trillion won (US$6.6 billion), with gainers outnumbering losers 689 to 190.
Institutions bought a net 322 billion won, while foreigners sold 43 billion won and retail investors offloaded 278 billion won.
The key stock index recovered its two-day losses from concerns about a banking crisis in the U.S. and Germany, sparked by unprecedented rate hikes in major economies.
Investors’ concerns eased on news that regional First Citizens BancShares Inc. has agreed to buy the troubled Silicon Valley Bank (SVB), and the U.S. regulator vowed backing for the deal.
“It is unlikely that the recent banking fiasco would lead to a large-scale financial crisis,” KB Securities analyst Kim Sang-hoon said.
The overall gains were led by an advance in major tech and auto stocks.
Market bellwether Samsung Electronics added 1.29 percent to 62,900 won, and SK hynix jumped 3.39 percent to 88,400 won.
Leading carmaker Hyundai Motor grew 0.57 percent to 177,100 won, with its smaller affiliate Kia swelling 1.18 percent to 76,900 won. Bio heavyweight Samsung Biologics closed unchanged at 797,000 won.
The local currency closed at 1,298.8 won against the dollar, up 2.7 won from the previous session’s close.
Source: Yonhap News Agency