Stocks open lower as rate hike woes heighten

Finance

Stocks open lower as rate hike woes heighten

Published: 07 Jul. 2023, 09:53

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

Stocks opened lower Friday on rising rate hike woes and Samsung Electronic's negative earnings.

The benchmark Kospi dropped 23.55 points, or 0.92 percent, to 2,532.74 in the first 15 minutes of trading.

All U.S. stock indexes finished lower Thursday with investors' concerns over the U.S. Federal Reserve's potential additional rate hikes following stronger-than-expected U.S. employment data.

In Seoul, most large-cap shares were trading in negative terrain.

Samsung Electronics plunged 1.4 percent after its second-quarter operating profit was estimated to have plunged about 96 percent from a year earlier amid an extended slump in the semiconductor industry.

SK hynix also dropped almost 1.7 percent, and LG Chem went down 0.75 percent.

Hyundai Motor retreated 1.45 percent, and Kia shed 2.25 percent.

Battery makers were mixed, with LG Energy Solution gaining 0.71 percent with expectations on strong second-quarter earnings guidance set to be released later in the day, while Samsung SDI slid 1 percent.

LG Electronics also fell 1.76 percent ahead of the release of second-quarter earnings guidance later in the day.

The local currency was trading at 1,310.10 won against the dollar at 9:15 a.m., up 9.20 won from Thursday's close.

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