Stocks open higher on signs of U.S. inflation slowing

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Stocks open higher on signs of U.S. inflation slowing

Published: 13 Jul. 2023, 10:05

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

Stocks opened higher Thursday, tracking Wall Street gains following U.S. inflation data showing signs of inflation cooling down.

The benchmark Kospi rose 17.92 points, or 0.70 percent, to 2,592.64 in the first 15 minutes of trading.

Overnight, the Dow Jones Industrial Average rose 0.3 percent, and the tech-heavy Nasdaq Composite climbed 1.2 percent.

The U.S. Consumer Price Index, a key inflation gauge, rose 3 percent in June from a year earlier, the smallest increase since March 2021.

The sharp slowdown in U.S. inflation is increasing chances that the U.S. central bank is nearing the end of its aggressive monetary tightening policy, analysts said.

In Seoul, tech, auto and energy stocks led gains.

Samsung Electronics rose 0.7 percent, and SK hynix climbed 1.2 percent.

Hyundai Motor gained 0.5 percent, and LG Chem was up 2.5 percent.

Among decliners, Korean Air Lines fell 0.4 percent, Hankook Tire and Technology declined 0.8 percent, and Korea Aerospace Industries shed 1.1 percent.

The local currency was trading at 1,279.25 won against the dollar at 9:15 a.m., down 9.45 won from the previous session's close.

BY SOHN DONG-JOO, YONHAP [[email protected]]