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Kospi opens higher to track U.S. blue chip tech gains

Published: 12 Dec. 2024, 11:12

Hana Bank's trading room in central Seoul shows the Kospi opening on Thursday. [YONHAP]

Shares opened higher Thursday, tracking overnight gains of U.S. blue chip tech shares backed by U.S. Consumer Price Index (CPI) data, which cemented bets for another rate cut by the Federal Reserve.

The Kospi added 20.41 points, or 0.84 percent, to 2,462.92 in the first 15 minutes of trading.

Overnight, the tech-heavy Nasdaq composite and the S&P 500 gained ground as investors digested the new U.S. CPI, which was in line with expectations and backed forecasts for another Fed rate cut this month, but the Dow Jones Industrial Average lost ground on losses of health care shares.

Tech shares rose big in particular, with Alphabet, the parent company of Google, up 5.46 percent, Tesla up 5.93 percent and Nvidia gaining 3.14 percent.

In Seoul, tech and financial shares were pushing the Kospi up.

Samsung Electronics gained 0.74 percent, and SK hynix jumped 1.86 percent.

Hyundai Motor climbed 1.91 percent, while Kia advanced 1.87 percent.

Financial shares were also strong.

KB Financial soared 2.58 percent, and Samsung Life Insurance surged 3.15 percent.

LG Energy Solution and major chemical producer LG Chem also advanced, rising 0.4 percent and 1.52 percent, respectively.

Naver was down 1.15 percent following days of gains, and Korea Zinc slid 6.21 percent.

The local currency was trading at 1,429.60 won against the U.S. dollar at 9:15 a.m., down 2.6 won from the previous session.

Yonhap