Seoul Stock Market Dips Following Government’s Value-Up Program Announcement

SEOUL — South Korean stocks were observed to decline by 0.49 percent late Monday morning, following the government's unveiling of its "value-up" program.

According to Yonhap News Agency, the Korea Composite Stock Price Index (KOSPI) decreased by 13.18 points, landing at 2,654.52 as of 11:20 a.m. The program introduced by South Korean financial authorities aims to enhance corporate value through "bold incentives," including various tax benefits, prompting companies to undertake voluntary improvement efforts.

The announcement had a notable impact on the financial sector, with KB Financial Group and Hana Financial Group experiencing declines of 4.26 percent and 5.6 percent, respectively. Additionally, major insurance firms Hyundai Fire and Marine Insurance and Hanwha Life Insurance saw significant drops of 7.5 percent and 8.86 percent. However, the technology sector showed resilience, with Samsung Electronics and SK hynix reporting gains of 0.27 percent and 0.25 percent, respectively. The Korean won also weakened against the U.S. dollar, trading at 1,331.8 won, down by 0.8 won from the session's opening.

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