Seoul, Feb 25: Seoul shares jumped nearly 2 per cent on Wednesday to surpass the 6,000-point mark for the first time, lifted by extended gains in technology and automobile stocks. The Korean won sharply rose against the US dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) advanced 114.22 points, or 1.91 per cent, to finish at a record high of 6,083.86 after hitting an intraday high of 6,144.71. The KOSPI has rallied for the fifth consecutive day, reports Yonhap news agency.
Trading volume was heavy at 1.39 billion shares worth 33.86 trillion won (US$23.7 billion), with gainers outnumbering decliners 446 to 433.
The index has maintained strong upward momentum in recent weeks, surpassing the 5,000-point mark for the first time on Jan. 27 and crossing 5,500 on Feb. 12. It moved above 5,800 on Friday and 5,900 on Tuesday.
The rally tracked overnight gains on Wall Street, where the Dow Jones Industrial Average rose 0.76 percent and the tech-heavy Nasdaq Composite advanced 1.04 percent.
Institutions and individuals bought a net 880.76 billion won and 224.71 billion won worth of stocks, offsetting foreign selling valued at 1.29 trillion won.
“The rally in technology stocks was extended as concerns eased over the disruptive effects of artificial intelligence. In particular, retail investors snapped up tech shares on expectations of a semiconductor supercycle, lifting the broader market,” Han Ji-young, an analyst at Kiwoom Securities Corp., said.
Investors are now awaiting earnings results from Nvidia Corp. due this week for further direction, analysts said.
At the same time, market participants remained cautious over U.S. President Donald Trump’s push to impose new tariffs after the Supreme Court struck down his earlier sweeping duties.
Trump signed an executive order Friday (U.S. time), authorizing new 10 percent global tariffs that took effect Tuesday. He has also threatened to raise the rate to 15 percent, though no formal order has been issued.
In Seoul, technology and automobile stocks led the gains.
Market bellwether Samsung Electronics rose 1.75 percent to 203,500 won, while chip giant SK hynix climbed 1.29 percent to 1,018,000 won.
Top automaker Hyundai Motor surged 9.16 percent to 572,000 won on news of a possible initial public offering (IPO) of its U.S. affiliate Boston Dynamics, known for its humanoid robot Atlas. Its affiliate Kia jumped 12.7 percent to 196,100 won.
Among decliners, defense firm Hanwha Aerospace fell 2.34 percent to 1,212,000 won, and shipbuilder Hanwha Ocean declined 0.77 percent to 142,000 won.
The Korean won was quoted at 1,429.40 won against the U.S. dollar at 3:30 p.m., up 13.1 won from the previous session.
Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasurys fell 3 basis points to 3.124 percent, and the return on the benchmark five-year government bonds declined 3 basis points to 3.380 percent.
–IANS