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An electronic board showing the Korea Composite Stock Price Index at a dealing room of the Hana Bank headquarters in Seoul on Thursday. (Yonhap) |
Seoul shares finished sharply higher on Thursday, despite concerns over a looming global recession. The Korean won rose against the US dollar.
The benchmark Korea Composite Stock Price Index rose 27.78 points, or 1.19 percent, to close at 2,356.73, ending its losing streak of the past five sessions.
Trading volume was moderate at 415.98 million shares worth 5.96 trillion won ($4.67 billion), with gainers outstripping decliners 655 to 210.
Foreigners and individuals sold a net 570 billion won worth of stocks, offsetting institutional buying valued at 584 billion won.
Overnight, US stocks rallied, boosted by strong earnings from some major companies and positive consumer-confidence data.
Data released Wednesday by the Conference Board showed that consumer confidence in the US economy rose to an 8-month high of 108.3, up from the 101.4 registered in November.
The Dow Jones Industrial Average jumped 1.6 percent, the S&P 500 rose 1.49 percent, and the tech-heavy Nasdaq Composite advanced 1.54 percent.
Concerns about a global recession, however, are mounting, with the US Federal Reserve reaffirming its hawkish stance in its fight against inflation.
Last week, the Fed vowed to continue its monetary tightening policy until inflation is brought under control.
The Bank of Japan earlier this week said it will raise 10-year government bond yields to around 0.5 percent from the previous upper limit of 0.25 percent, a decision seen as a switch to monetary tightening after a decade of extraordinary stimulus.
"A rebound on Wall Street overnight spurred by improved consumer confidence had a positive impact on the Korean market," Suh Sang-young, an analyst at Mirae Asset Securities, said.
He expected more foreign money to flow in the market amid expectations that the Korean won will rise against the greenback and institutional investors might move to invest in dividend-paying stocks.
Seoul shares advanced across the board.
Market bellwether Samsung Electronics Co. rose 1.9 percent to end at 59,100 won and No. 2 chipmaker SK hynix Inc. added 1.54 percent to 79,200 won.
Top carmaker Hyundai Motor Co. climbed 1.6 percent to 158,500 won and its smaller sister company Kia advanced 2.42 percent to 63,500 won.
Samsung Biologics, the biotech arm of South Korea's Samsung Group, rose 0.73 percent to 824,000 won and major chemical firm LG Chem added 0.97 percent to 626,000 won.
Among decliners, leading battery maker LG Energy Solution shed 1.15 percent to 471,500 won and Korea Electric Power Co. shed 0.46 percent to 21,750 won.
The Korean won closed at 1,276.20 won against the US dollar, up 9.5 won from the previous session's close. (Yonhap)
