Home > Business > Finance

Kospi rises 0.31% on relief over details of Trump's tariff plan

Published: 14 Feb. 2025, 17:07

CHO YONG-JUN
[email protected]

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,591.05 points on Feb. 14, up 7.88 points, or 0.31 percent, from the previous trading session. [NEWS1]

Shares rose to the highest level in more than three months on Friday as U.S. President Donald Trump's announcement of some details about his new tariff scheme helped ease uncertainties.

The benchmark Kospi added 7.88 points, or 0.31 percent, to close at 2,591.05, extending a winning streak to a fourth session.

It marked the highest level since Oct. 30, 2024, when the index finished at 2,593.79.

The Kosdaq rose 7.04 points, or 0.94 percent to close at 756.32.

Trade volume was a bit heavy at 491.98 million shares worth 13.67 trillion won ($9.47 billion), with winners outnumbering losers 496 to 365.

Institutions bought a net 364.35 billion won worth of local shares, while foreign and retail investors sold a net 320.75 billion won and 64.4 billion won, respectively.

The index opened higher and had maintained the momentum, after Trump signed a presidential memorandum Thursday to devise a comprehensive plan to customize "reciprocal" tariffs, with the study on the new scheme to be completed by April 1.

"Investors have become less sensitive to the tariff issue, and the recent announcement further eased uncertainties regarding the new tariff scheme," Lee Sung-hoon, an expert from Kiwoom Securities, said.

Acting President Choi Sang-mok said the impact of the U.S. tariff policy may not have a huge impact on the Korean economy as the countries have continued to reduce their tariff rates over the years to an average of 0.79 percent last year, with plans to further lower their rates under the Korea-U.S. FTA.

He still instructed the government to review non-tariff barriers and other issues to best respond to the new U.S. tariff scheme.

Investors also welcomed the chatter about peace talks between Trump and Russian President Vladimir Putin on ways of ending the Russia-Ukraine war.

Chip and bio shares led the upturn of the index.

Samsung Electronics added 0.36 percent to 56,000 won, and SK hynix rose 0.72 percent to 210,000 won.

Samsung Biologics edged up 0.08 percent to 1,180,000 won, and Celltrion surged 1.63 percent to 180,800 won.

LG Energy Solution sank 1.4 percent to 353,000 won on profit-taking.

Hyundai Motor tumbled 1.2 percent to 206,000 won, while its sister affiliate Kia went up 0.74 percent to 95,000 won.

Naver increased 0.45 percent to 221,000 won, and top steelmaker Posco Holdings rose 0.2 percent to 247,000 won on bargain hunting.

The local currency was quoted at 1,443.5 won against the greenback at 3:30 p.m., down 4 won from the previous session.

BY CHO YONG-JUN [[email protected]]