South Korean stocks finished higher Wednesday, driven by big-cap tech and steel shares, amid expectations for a recovery in the chip sector despite lingering concerns about US President Donald Trump's sweeping tariff measures. The local currency fell against the greenback.
The benchmark Korea Composite Stock Price Index rose 16.28 points, or 0.62 percent, to close at 2,628.62, extending the winning streak to a third straight session.
Trade volume was moderate at 645.95 million shares worth 11.66 trillion won ($8.03 billion), with winners outpacing losers 504 to 370.
Foreign investors and institutions bought a net 307.12 billion won and 285.72 billion won worth of shares, respectively, while retail investors sold a net 675.8 billion won.
The market opened markedly higher, despite overnight gains on Wall Street, and maintained the momentum.
Experts said expectations for a recovery in the semiconductor sector have grown despite concerns about the impact of the US tariff scheme.
Eyes are also on the Federal Reserve's two-day rate-setting meeting that began Tuesday and Fed Chair Jerome Powell's comments on the monetary policy path and economic assessment.
Top-cap chip shares led the upturn of the index.
Market bellwether Samsung Electronics soared 1.56 percent to 58,500 won, after its CEO Han Jong-hee vowed to make "all-out efforts" to boost shareholder value despite tough circumstances at home and abroad and to actively push for "more meaningful" mergers and acquisitions as part of growth strategies.
Chip giant SK hynix surged 1.23 percent to 205,500 won, and top battery maker LG Energy Solution advanced 1.69 percent 330,500 won.
Carmakers gathered ground. Top automaker Hyundai Motor jumped 1.75 percent to 204,000 won, and its sister affiliate Kia added 0.73 percent to 97,100 won.
Leading steelmaker Posco Holdings went up 2.46 percent to 312,500 won, and major chemical firm LG Chem spiked 4.54 percent to 242,000 won.
But bio shares ended mixed. Major bio firm Samsung Biologics shed 0.46 percent to 1,079,000 won, while Celltrion inched down 0.11 percent to 187,200 won.
Leading defense equipment manufacturer Hanwha Aerospace lost 1.05 percent to 756,000 won on profit taking, and top portal operator Naver decreased 0.48 percent to 208,000 won.
The local currency was trading at 1,453.4 won against the US dollar at 3:30 p.m., down 0.5 won from the previous session. (Yonhap)
