Seoul shares open lower on dimmed prospects for Fed’s early rate cuts

SEOUL, South Korean stocks got off to a weak start Wednesday, tracking overnight losses on Wall Street amid dampened hopes for the Federal Reserve's early rate cuts. After starting marginally higher, the benchmark Korea Composite Stock Price Index dropped 14.13 points, or 0.57 percent, to 2,483.46 in the first 15 minutes of trading. Overnight, all three major U.S. indexes lost ground as Fed Gov. Christopher Waller's comments cooled bets on the Fed's early rate cuts. A slide in Apple and Boeing also weighed on the market. Waller said there is no need to rush to cut interest rates, though the Fed is "within striking distance" of reaching its 2 percent inflation target. In Seoul, most big-cap shares, except for chips, started in negative territory. Market bellwether Samsung Electronics rose 0.55 percent, and No. 2 chipmaker SK hynix added 0.91 percent. But leading battery maker LG Energy Solution lost 1 percent, its smaller rival Samsung SDI dropped 1.14 percent, and POSCO Future M sank 1.81 percent. To p automaker Hyundai Motor also retreated 0.81 percent, and its smaller affiliate Kia dipped 1.34 percent. IT and bio shares were also weak. Internet portal operator Naver was down 0.22 percent, and Kakao, the operator of the country's top mobile messenger, fell 0.67 percent. Bio giant Samsung Biologics lost 0.78 percent, and Celltrion plunged 1.97 percent. Steel giant POSCO Holdings and leading chemical producer LG Chem also declined 1.49 percent and 2.78 percent, respectively. The local currency was trading at 1,341.20 won against the U.S. dollar, down 9.4 won from the previous session's close. Source: Yonhap News Agency