South Korean stocks ended higher for a second straight session Thursday as investor sentiment improved after US President Donald Trump pulled back some of the tariffs on Canada and Mexico. The Korean won was trading sharply higher against the US dollar.
The benchmark Korea Composite Stock Price Index added 18.03 points, or 0.7 percent, to close at 2,576.16.
Trade volume was moderate at 600.4 million shares worth 11.1 trillion won ($7.7 billion), with gainers outnumbering losers 485 to 392.
Foreigners and institutions purchased local shares worth 138.2 billion won and 155.7 billion won, respectively, while retail investors unloaded 369.1 billion won.
Overnight, major US shares rebounded as investor sentiment improved after the Trump administration suspended new auto duties on Mexico and Canada for a month and signaled it is open to more tariff negotiations.
The S&P 500 gained 1.12 percent, and the Dow Jones Industrial Average increased 1.14 percent, while the tech-heavy Nasdaq rose 1.46 percent.
"Market uncertainties seem to have peaked out as the US administration opened rooms for compromise on its tariffs on Mexico and Canada," Lee Kyoung-min, an analyst at Daishin Securities, said.
In Seoul, auto and IT shares were bullish.
Top carmaker Hyundai Motor gained 1.49 percent to 197,600 won, and its sister Kia jumped 2.19 percent to 98,000 won.
Internet portal operator Naver shot up 5.54 percent to 219,000 won, and Kakao, the operator of the country's dominant mobile messenger, surged 4.64 percent to 45,100 won on expectations on their artificial intelligence business.
Financial shares also went sharply up, with Meritz Financial surging 3.84 percent to 127,200 won and Shinhan Financial rising 3.81 percent to 46,350 won.
Steel giant POSCO Holdings soared 6.87 percent to 295,500 won.
The food sector was also strong with major companies announcing plans for price hikes.
Leading instant noodle maker Nongshim skyrocketed 10.65 percent to 389,500 won, and CJ Cheiljedang advanced 5.97 percent to 257,500 won.
Tech giant Samsung Electronics rose 0.56 percent to 54,300 won, but its chipmaking rival SK hynix dropped 0.36 percent to 192,400.
Leading defense firm Hanwha Aerospace shed 2.45 percent to 678,000 won, and major shipbuilder Hanwha Ocean decreased 0.99 percent to 79,700 won.
The local currency was trading at 1,442.4 won against the greenback at 3:30 p.m., up 12.1 won from the previous session. (Yonhap)
