Stocks open lower after Fed meeting minutes suggest more rate hikes

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Stocks open lower after Fed meeting minutes suggest more rate hikes

Published: 17 Aug. 2023, 09:52 Updated: 17 Aug. 2023, 09:59

Screens in Hana Bank's trading room in central Seoul show stock and foreign exchange markets open on Thursday. [NEWS1]

Stocks opened lower Thursday as the U.S. Federal Reserve's meeting minutes reaffirmed its push for continued rate hikes to cool inflation.

The benchmark Kospi shed 29.08 points, or 1.15 percent, to 2,496.55 in the first 15 minutes of trading.

Overnight, U.S. stocks fell after the minutes from the Fed's July meeting showed that officials still saw a possible resurgence of inflation and the potential need for further rate hikes.

The Dow Jones Industrial Average fell 0.52 percent, and the tech-heavy Nasdaq Composite dropped 1.15 percent.

Investors are also wary of China's real estate sector following the debt problems of its property giant Country Garden.

In Seoul, large-cap shares opened lower.

Samsung Electronics sank 1.19 percent, while LG Energy Solution remained unchanged.

SK hynix lost 1.9 percent, and Samsung SDI inched down 0.17 percent. LG Chem retreated 2.05 percent.

Posco Holdings fell 1.28 percent, and Samsung Biologics decreased 0.38 percent.

Carmakers also fell, with Hyundai Motor dropping 1.35 percent and Kia going down 0.9 percent.

The local currency was trading at 1,342.10 won against the dollar at 9:15 a.m., up 5.2 won from the previous session's close.

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