Stocks close higher Monday with automakers leading gains

Finance

Published: 25 Jul. 2022, 16:52

Stocks close higher Monday with automakers leading gains

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,403.69 points on Monday, up 10.55 points, or 0.44 percent, from the previous trading day. [YONHAP]

Stocks closed higher Monday, as institutions and foreigners went into buying mode, with automakers and car parts suppliers leading the gains. The won declined against the dollar.

The Kospi gained 10.55 points, or 0.44 percent, to close at 2,403.69.

Trading volume was moderate at 316.23 million shares worth 5.77 trillion won ($4.39 billion), with gainers outstripping losers 427 to 400.

Institutions bought a net 193.2 billion won and foreign investors a net 93.5 billion won, while retail investors sold a net 282.6 billion won.

"Concerns over the chip industry's outlook have recently eased with a modest rise in the Philadelphia Semiconductor Index," said Kwak Byung-yeol, an analyst at Leading Investment & Securities.

"But stock volatility remains high as investors remain cautious ahead of the FOMC [Federal Open Market Committee] meeting" slated for Wednesday, he added.

Last Friday, Wall Street finished lower on tech losses. The Dow Jones Industrial Average fell 0.43 percent, the Nasdaq Composite decreased 1.87 percent, and the S&P 500 dropped 0.93 percent. But all three major indexes closed out the week higher than the previous week.

In Seoul, the market opened higher Monday, boosted by gains of automakers and car parts suppliers.

Hyundai Motor rose 2.62 percent to 196,000 won and its affiliate Kia also added 1.73 percent to 82,300 won. Auto parts suppliers Hyundai Mobis went up 3.43 percent to close at 226,000 won. Samsung Electronics lost 0.33 percent to 61,100 won, and SK hynix remained flat at 100,000 won. LG Energy Solution also gained 2.36 percent to 391,000 won, after dipping as low as 371,000 won in earlier trading, as an IPO lock-up period for institutional investors is set to expire Wednesday.

The local currency ended at 1,313.70 won against the dollar, up 0.7 won from the previous session's close.

The Kosdaq gained 0.06 points, or 0.01 percent, to close at 789.69 points.

Bond prices, which move inversely to yields, closed higher. The yield on three-year government bonds lost 6.5 basis points to 3.153 percent, and the yield on the 10-year government bond dropped 12.2 basis points to 2.75 percent.

BY CHO JUNG-WOO, YONHAP [cho.jungwoo1@joongang.co.kr]