Seoul: Seoul stocks opened sharply higher Friday, tracking overnight gains on Wall Street as falling oil prices and the Federal Reserve's rate hike eased inflation woes. The benchmark Korea Composite Stock Price Index (KOSPI) was up 150.53 points, or 2.24 percent, to 6,865.94 as of 9:15 a.m.
According to Yonhap News Agency, overnight, stocks on Wall Street closed higher as investor sentiment improved on falling oil prices and easing pressures from the U.S. bond market. The S and P 500 added 1.14 percent and the tech-heavy Nasdaq strengthened 1.69 percent. The benchmark Brent Crude slid almost 1 percent, settling at around US$104 per barrel. The drop in oil prices also helped pull down yields in the bond market.
The Federal Reserve raised its benchmark rate by a quarter percentage point for the first time in over three years in an effort to combat inflation. In Seoul, most market heavyweights were trading higher. Top-cap Samsung Electronics added 2.87 percent, while rival SK hynix strengthened 4.53 percent. Battery maker LG Energy Solution inched up 0.41 percent, carmaker Hyundai Motor added 1.52 percent, and major financial firm KB Financial shed 1.45 percent.
The Korean won was trading at 1,381.4 won against the U.S. dollar, up 0.1 won from the close of the previous stock trading session.