SEOUL - In a significant step towards strengthening economic ties, the finance ministers of South Korea and the United Kingdom convened on Tuesday for a video conference. They discussed the initiation of a bilateral economic dialogue and the enhancement of investment cooperation, as a follow-up to the recent summit between their respective leaders. According to Yonhap News Agency, Seoul's Ministry of Economy and Finance. During the conference, South Korea's Finance Minister Choo Kyung-ho engaged with Britain's Chancellor of the Exchequer Jeremy Richard Streynsham Hunt. The dialogue focused on reinforcing bilateral cooperation across various sectors, including energy, supply chains, and advanced science technologies. This discussion comes as a continuation of efforts initiated during South Korean President Yoon Suk Yeol's state visit to Britain. In that visit, President Yoon met with British Prime Minister Rishi Sunak, leading to the signing of the "Downing Street Accord." This accord aims to elevate the bilateral security and economic relationships to their highest level yet.
Both nations have committed to launching a dialogue specifically targeting economic and financial issues. Minister Choo proposed the idea of holding the first meeting of this dialogue in the upcoming year, seeking active cooperation from the British government.
Chancellor Hunt acknowledged the progress in economic relations following President Yoon's visit to the UK. He emphasized the importance of closer ties between the two nations amidst global economic uncertainties. Additionally, Hunt praised the South Korean economic model, particularly highlighting the country's advancements in semiconductor and other high-tech industries, its robust education system, and expressed interest in various aspects of South Korean culture, including dramas, cuisine, and the broader cultural landscape.
The Ministry of Economy and Finance stated that the South Korean government is committed to maintaining close communication with Britain to ensure the smooth implementation of the projects agreed upon during these discussions.
Seoul – South Korean stocks closed lower on Tuesday, reflecting investor caution as expectations for a Federal Reserve rate cut next year were scaled back. The Korea Composite Stock Price Index (KOSPI) fell 20.67 points, or 0.82 percent, ending the day at 2,494.28. The session involved moderate trade volume, with 416.4 million shares worth 8.1 trillion won (approximately US$6.2 billion) changing hands. Losers outnumbered gainers 515 to 357.According to Yonhap News Agency, Institutional investors sold shares worth 170.9 billion won, while individual and foreign investors purchased shares valued at 146.7 billion won and 29.2 billion won, respectively. Lee Kyoung-min, an analyst at Daishin Securities Co., attributed the downturn to a rebound in U.S. bond yields and the dollar, following market sentiment that hopes for a Fed rate cut were excessive.
The U.S. market also saw a downturn on Monday, with the S&P 500 dropping 0.54 percent, the Dow Jones Industrial Average declining 0.11 percent, and the Nasdaq Composite falling 0.84 percent. In Seoul, tech and battery stocks were among the major contributors to the KOSPI's decline.
Key players like Samsung Electronics and SK hynix experienced notable drops. Other major corporations, including POSCO Holdings and POSCO Future M, also saw declines. Leading battery maker LG Energy Solution remained flat, while smaller rival Samsung SDI saw a slight increase.
Shipbuilding stocks, including HD Hyundai Heavy Industries and HMM, experienced downturns amid news of South Korea's drop to second place in global shipbuilding orders in November. The auto sector had mixed results, with Hyundai Motor slightly down and Kia flat.
Internet portal operator Naver, however, climbed 1.19 percent. The South Korean won weakened against the U.S. dollar, closing at 1,311.20 won. Bond prices rose, with yields on three-year Treasurys and the benchmark five-year government bonds decreasing.