Seoul shares surge over 1% as martial law investigation accelerates
An electronic board showing the Korea Composite Stock Price Index at a dealing room of the Hana Bank headquarters in Seoul on Wednesday. (Yonhap)
Seoul shares closed over 1 percent higher Wednesday, extending their winning streak to a second session as a widespread investigation into President Yoon Suk Yeol's brief martial law declaration by various law enforcement agencies picked up speed. The Korean won lost ground against the US dollar.
The benchmark Korea Composite Stock Price Index added 24.67 points, or 1.02 percent, to finish at 2,442.51.
Trade volume was moderate at 607 million shares worth 7.53 trillion won ($5.26 billion), with winners outpacing losers 808 to 102.
Institutions bought a net 175.5 billion won worth of shares, while foreign and retail investors sold a combined net 262.1 billion won worth of shares.
Yoon faces a criminal investigation in connection with insurrection and other charges related to his short-lived martial law order last week.
The heads of the National Police Agency and the Seoul Metropolitan Police Agency were placed under emergency arrest early Wednesday in connection with their alleged involvement. Police investigators also attempted to raid the presidential office but to no avail as of late Wednesday.
Overnight, the US stock market declined amid concerns in the semiconductor industry following the earnings report from TSMC, the world's largest foundry, and caution ahead of the release of inflation data
The tech-heavy Nasdaq composite dropped 0.25 percent, and the S&P fell 0.3 percent. The Dow Jones Industrial Average edged down 0.35 percent.
"The domestic stock market appears to have maintained its resilience, supported by perceived assessments of it being undervalued, expectations for resolving the political turmoil and news of the abolition of the financial investment income tax," Han Ji-young, an analyst at Kiwoom Securities, said.
In Seoul, shipbuilders and financial shares advanced, with HD Hyundai Heavy Industries jumping 6.67 percent to 232,000 won and Kookmin Financial rising 2.52 percent to 85,400 won.
Defense equipment and internet-related shares also gained momentum. Hanwha Aerospace added 2.41 percent to close at 298,000 won, and top portal operator Naver rose 4.31 percent to 218,000 won.
Chip manufacturer SK hynix added 0.82 percent to close at 171,800 won, while market behemoth Samsung Electronics remained unchanged at 54,000 won.
The local currency was trading at 1,432.20 won against the greenback at 3:30 p.m., down 5.3 won from the previous session. (Yonhap)
