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Stocks rise as U.S. job growth impresses

Published: 08 Apr. 2024, 16:54

KIM JI-YE
[email protected]

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,717.65 points on Monday, up 0.13 percent, or 3.44 points, from the previous trading session. [NEWS1]

Stocks ended slightly higher Monday on the back of auto and batteries following stronger-than-expected U.S. job data. The won fell against the dollar.

The Kospi gained 3.44 points, or 0.13 percent, to reach 2,717.65.

Trade volume was moderate at 611.2 million shares worth 10.36 trillion won ($7.6 billion), with decliners outpacing gainers 590 to 277.

Foreigners bought 207.6 billion won worth of domestic shares while retail investors and institutions unloaded stocks worth 93 billion won and 112.8 billion won, respectively.

Data released Friday (U.S. time) showed that the United States reported its biggest job growth in almost a year in March, indicating a strong economy. The robust labor market mean that the country's interest rates stay elevated for longer than previously expected.

Nevertheless, Wall Street closed higher on strong confidence in the U.S. economy's resilience.

Investors' eyes are now on the U.S. inflation data set to be released later this week, which will hint at the time period when the U.S. Federal Reserve will begin cutting rates.

In Seoul, auto and bio shares led the increase.

Samsung Electronics stayed flat at 84,500 won while SK hynix retreated 0.88 percent to 181,200 won.

Auto and bio shares closed in positive territory.

Hyundai Motor advanced 3.1 percent to 232,500 won, and Kia soared 3.33 percent to 108,500 won.

Samsung Biologics gained 0.25 percent to 815,000 won, and Celltrion shot up 6.2 percent to 188,500 won.

Financial shares also gained ground, with KB Financial Group up 0.29 percent to 69,300 won, Shinhan Financial Group up 0.68 percent to 44,400 won and Hana Financial Group up 2.42 percent to 59,200 won.

Battery shares closed mixed.

LG Energy Solution dropped 0.8 percent to 373,000 won and Samsung SDI dipped 0.12 percent to 420,000 won, while Posco Future M jumped 5.43 percent to 281,500 won.

The local currency ended at 1,353.20 won against the dollar, up 0.40 won from the previous session's close.

The Kosdaq fell 11.72 points, or 1.34 percent, to close at 860.57.

Bond prices, which move inversely to yields, closed lower. The yield on three-year government bonds climbed 5.6 basis points to 3.386 percent, and the return on the benchmark U.S. 10-year government bonds rose 8.9 basis points to 4.402 percent.

BY KIM JI-YE, YONHAP [[email protected]]