SEOUL, – South Korean stocks traded 1.94 percent lower late Friday morning on renewed concerns over the U.S. central bank’s monetary tightening.
The benchmark Korea Composite Stock Price Index (KOSPI) had shed 46.82 points to 2,368.98 as of 11:20 a.m.
Overnight, Federal Reserve Chairman Jerome Powell said inflation is still “too high,” leaving the door open for another interest rate hike.
After his comments, all three major U.S. stock indices declined, with the Dow Jones Industrial Average falling 0.75 percent and the Nasdaq Composite dropping 0.96 percent.
In Seoul, most shares traded in negative territory across the board.
Market bellwether Samsung Electronics lost 1.44 percent, and its chipmaking rival SK hynix sank 1.91 percent.
Battery shares continued their bearish mode following a slump in Tesla Inc.’s third-quarter earnings. Major players LG Energy Solution and POSCO Future M tumbled 3.43 percent and 6.13 percent, respectively.
Korean Air Lines fell 1.48 percent and Asian Airlines sank 3.23 percent ahead of a key board meeting to sell the latter’s cargo division for the two company’s takeover deal.
The local currency was changing hands at 1,355.8 won against the U.S. dollar as of 11:20 a.m., up 1.7 won from the previous session’s close.
Source: Yonhap News Agency