Seoul shares rebound ahead of Fed chief's speech this week

South Korean stocks rebounded on Tuesday following a rally in the US market ahead of this week's Jackson Hole symposium. The local currency gained against the US dollar.

The benchmark Korea Composite Stock Price Index added 22.27 points, or 0.83 percent, to close at 2,696.63.

Trade volume was moderate at 473 million shares worth 8.69 trillion won ($6.52 billion), with gainers outnumbering losers 644 to 245.

Foreigners bought a net 254.2 billion won worth of shares, while individuals offloaded a net 280 billion won. Institutions bought a net 3.83 billion won.

Overnight, the tech-heavy Nasdaq composite and the S&P 500 both extended their gains to eight consecutive sessions, the longest this year, brushing off concerns over a recession in the world's largest economy.

"Seoul shares gained ground on the back of momentum in the US market, ahead of the Jackson Hole meeting," said Han Ji-young, an analyst at Kiwoom Securities.

Federal Reserve Chair Jerome Powell is expected to offer more clues on the Fed's policy direction during the upcoming symposium.

In Seoul, top tech giant Samsung Electronics moved up 0.77 percent to 78,900 won, and No. 2 chipmaker SK hynix added 2.99 percent to 199,700 won.

Financial shares traded bullish as well, with KB Financial advancing 3.33 percent to 89,900 won and Shinhan Financial rising 2.1 percent to 58,400 won.

Pharmaceutical firms, on the other hand, traded lower, with Samsung Biologics falling 2.47 percent to 907,000 won and Celltrion losing 0.71 percent to 196,200 won.

Chemical firms closed mixed, with LG Chem rising 0.69 percent to 291,500 won and top oil refiner SK Innovation advancing 2.2 percent to 102,400 won. Cosmetics giant Amorepacific shed 1.14 percent to 121,500 won.

The local currency was trading at 1,333.2 won against the dollar as of 3:30 p.m., up 0.8 won from the previous session. (Yonhap)