Seoul shares down for 3rd day on US woes

South Korean shares dropped for a third consecutive session Thursday amid concerns of an economic recession in the United States. The local currency rose against the US dollar.

The benchmark Korea Composite Stock Price Index lost 5.30 points, or 0.21 percent, to close at 2,575.50.

Trading volume was moderate at 371 million shares worth 10 trillion won ($7.48 billion), with losers outnumbering winners 519 to 358.

Retail investors purchased a net 457.6 billion won worth of local shares, extending their buying streak to a fourth session, while offshore investors remained net sellers for a third consecutive session, selling a net 590.4 billion won. Institutions scooped up 123.8 billion won.

The index had opened sharply higher as investors sought to pick up blue chip bargains, one day after it dropped 3.15 percent on a worse-than-expected US manufacturing purchasing managers index. The Kospi I had dipped 0.61 percent on Tuesday.

Investors again took to the sidelines ahead of the release of US jobs data.

"It is too early to conclude whether the US economy faces a recession, but fears will likely persist until the US jobs data is released Friday," KB Securities researcher Kim Ji-won said.

Large caps closed mixed, with market kingpin Samsung Electronics shedding 1.43 percent to 69,000 won, while the world's No. 2 chipmaker SK hynix surged 2.97 percent to 159,400 won.

Top automaker Hyundai Motor lost 1.51 percent to 229,000 won, but its smaller affiliate Kia advanced 0.50 percent to 100,700 won.

Leading battery maker LG Energy Solution soared 2.63 percent to 410,000 won, while its local rival Samsung SDS gained 0.57 percent to 158,300 won.

The local currency was trading at 1,335.90 won against the dollar, up 6.3 won from the previous session.