Seoul shares end nearly flat amid bargain hunting
An electronic board showing the Korea Composite Stock Price Index at a dealing room of the Hana Bank headquarters in Seoul on Friday. (Yonhap)
Seoul shares closed nearly flat Friday as investors' bargain hunting limited declines amid lingering uncertainties, including a possible slowdown in US rate cuts.
The local currency gained against the US dollar, trading at the 1,300 won level as of 3:30 p.m. for the first time in four days.
The benchmark Korea Composite Stock Price Index edged down 2 points, or 0.08 percent, to close at 2,416.86. The main index briefly fell below the psychologically significant 2,400 level at one point.
Trade volume was moderate at 607 million shares worth 11.7 trillion won (US$8.36 billion), with gainers outpacing losers 505 to 390.
Foreigners sold a net 75.8 billion won worth of local stocks, and individuals bought a net 31.1 billion won. Institutions sold a net 13.9 billion won.
During a speech in Dallas, Federal Reserve Chair Jerome Powell said the economy is showing no signals that the Fed should be "in a hurry to lower rates" amid lingering inflation.
Analysts said investors were also concerned about news reports that Donald Trump's transition team is aiming to end a tax credit for electric cars.
"Battery makers will inevitably face burdens amid the possibility of the abolishment of subsidies for electric cars, and Powell's remarks on a slowdown in rate cuts are also weighing down the market," Kim Ji-won, a researcher at KB Securities, said.
In Seoul, top battery maker LG Energy Solution slid 12.09 percent to 371,000 won, and Samsung SDI sank 6.81 percent to 246,500 won.
Samsung Electronics, the top market cap company, rebounded 7.21 percent to 53,500 won on bargain hunting. On the previous day, Samsung closed below 50,000 won for the first time since June 2020.
The local currency had been trading at 1,398.8 won against the greenback as of 3:30 p.m., up 6.3 won from the previous session. On the previous day, the currency authorities vowed to actively respond to excessive foreign exchange volatility. (Yonhap)
