Kospi falls 1.02% following Wall Street overnight losses

Finance

Published: 19 Jul. 2024, 17:20 Updated: 19 Jul. 2024, 17:21

Kospi falls 1.02% following Wall Street overnight losses

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,795.46 points on Friday, down 1.02 percent, or 28.89 points, from the previous trading session. [YONHAP]

Shares fell for the third straight session Friday in line with overnight losses on Wall Street. The local currency fell in value against the dollar.

The Kospi tumbled 28.89 points, or 1.02 percent, to close at 2,795.46. The Kosdaq, however, rose by 6.24 points, or 0.76 percent, to 828.72.

Trade volume was slightly moderate at 417.9 million shares worth 9.4 trillion won ($6.78 billion), with losers outnumbering winners 574 to 302. Institutions and foreign investors dumped local shares worth a combined 781.2 billion won, while retail investors bought 779.8 billion won worth of shares.

Overnight, Wall Street shares tumbled as a weeklong decline in tech and chip stocks expanded to other blue chips. The S&P 500 and Nasdaq composite dropped 0.78 percent and 0.7 percent, respectively, and the Dow Jones Industrial Average slumped 1.29 percent.

Lee Kyung-min, a researcher at Daishin Securities, assessed the U.S. market correction as "technical due to short-term overheating and increased fatigue from recent steep gains."

In Seoul, most blue chips finished in negative territory. Samsung Electronics shed 2.88 percent to end at 84,400 won and SK hynix lost 1.41 percent to close at 209,500 won.

Automotive stocks also extended their losses from the past few sessions. Hyundai Motor slid 0.77 percent to 258,500 won while Kia tumbled 3 percent to 116,300 won.

Energy and financial shares also retreated. SK Innovation dropped 3.36 percent to 112,000 won and Shinhan Financial fell 1.66 percent to 53,400 won.

The local currency had been trading at 1,386.7 won against the greenback as of 3:30 p.m., up 5 won from the previous session.

Bond prices, which move inversely to yields, closed lower. The yield on three-year government bonds rose 1.3 basis points to 3.074 percent, and the return on the benchmark U.S. 10-year benchmark bonds added 4.4 basis points to 4.202 percent.

BY KIM JU-YEON, YONHAP [kim.juyeon2@joongang.co.kr]