Stocks open higher amid hopes for U.S. debt ceiling deal

Home > Business > Finance

Stocks open higher amid hopes for U.S. debt ceiling deal

Published: 31 May. 2023, 11:14 Updated: 31 May. 2023, 11:15

Screens in Hana Bank's trading room in central Seoul show stock and foreign exchange markets open on Wednesday. [YONHAP]

Stocks opened higher Wednesday as investors crossed their fingers for the debt ceiling deal to settle in the United States.

The Kospi added 6.34 points, or 0.25 percent, to 2,591.86 as of 10:30 a.m.

Wall Street closed mixed overnight as the debt ceiling deal reached between U.S. President Joe Biden and House Speaker Kevin McCarthy went to Congress.

The deal now needs bipartisan support before Monday to avert a potentially devastating federal default.

The Dow Jones Industrial Average declined 0.15 percent, while the S&P 500 rose 0.002 percent, and the tech-heavy Nasdaq Composite climbed 0.32 percent.

Earlier in the day, North Korea fired what it claims to be a "space launch vehicle" southward, but it fell into the Yellow Sea after an "abnormal" flight, the South Korean military said, in an apparently botched launch that defied international criticism and warnings.

In Seoul, Samsung Electronics remained flat, and chipmaker SK hynix declined 0.27 percent.

Bio firm Samsung Biologics went down 0.13 percent.

Battery makers gained ground. LG Energy Solution jumped 2.24 percent, and Samsung SDI inched up 0.14 percent.

Carmakers also opened higher, with Hyundai Motor climbing 0.5 percent and Kia rising 0.7 percent.

The local currency was trading at 1,320.5 won against the dollar at 10:30 a.m., up 2.5 won from the previous session's close.

BY SOHN DONG-JOO, YONHAP [sohn.dongjoo@joongang.co.kr]