The Korea Herald

지나쌤

Seoul shares down for 3rd day ahead of US inflation data

By Yonhap

Published : Feb. 13, 2023 - 16:13

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An electronic board showing the Korea Composite Stock Price Index at a dealing room of the Hana Bank headquarters in Seoul on Monday. (Yonhap) An electronic board showing the Korea Composite Stock Price Index at a dealing room of the Hana Bank headquarters in Seoul on Monday. (Yonhap)

South Korean stocks fell for a third session Monday on tech losses as investors remain cautious ahead of the release of the United States' key inflation data this week. The local currency fell against the US dollar.

The benchmark Korea Composite Stock Price Index lost 17.03 points, or 0.69 percent, to 2,452.70. Trading volume was a bit slim at 480.0 million shares worth 7.27 trillion won ($5.69 billion), with decliners outpacing gainers 530 to 340.

Institutions sold a net 407.92 billion won worth of shares, while individuals and foreigners bought a net 338.7 billion won and 65.71 billion won, respectively.

Eyes are on the US' Consumer Price Index report for January due out Tuesday (local time), which will set the tone for the Federal Reserve's monetary tightening path.

"Investors worry that a strong reading would cause the Fed to reinforce interest rate hike moves, as a recent hotter-than-expected US jobs report and other economic data have indicated the need to continue efforts to bring down the inflation," Kiwoom Securities analyst Han Ji-young said.

Last week, Fed Chair Jerome Powell said that disinflation has started, but it has "a long way to go." Several Fed officials have also called for maintaining restrictive rates for some time.

In Seoul, tech and chemicals led the fall of the index, though top-cap Samsung Electronics rose 0.16 percent to 62,900 won.

Leading battery maker LG Energy Solution lost 3.69 percent to 522,000 won, and chip giant SK hynix sank 3.10 percent to 90,600 won.

Samsung SDI fell 1.63 percent to 723,000 won, and LG Chem decreased 0.45 percent to 670,000 won.

Bio shares also lost ground. Samsung Biologics fell 0.12 percent to 807,000 won, and Celltrion skidded 0.80 percent to 161,100 won.

Internet giant Naver fell 3.04 percent to 223,000 won, and Kakao, the operator of the popular mobile messenger KakaoTalk, dived 4.88 percent to 64,300 won.

Carmakers ended mixed, with top automaker Hyundai Motor shedding 1.04 percent to 171,600 won and its affiliate Kia rising 1.10 percent to 73,200 won.

The local currency ended at 1,277.3 won against the US dollar, down 12.1 won from the previous session's close. (Yonhap)