Home > Business > Finance

Kospi snaps winning streak, won strengthens

Published: 20 Feb. 2025, 17:04

SHIN HA-NEE
[email protected]

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,654.06 points on Feb. 20, down 17.46 points, or 0.65 percent, from the previous trading session. [NEWS1]

Shares snapped their seven-session winning streak Thursday on Trump's comments on tariffs and the U.S. Federal Reserve's cautious stance on rate cuts. The won's value rose against the dollar.

The Kospi fell 17.46 points, or 0.65 percent, to close at 2,654.06.

Trade volume was moderate at 517.33 million shares worth 14.06 trillion won ($9.7 billion), with winners outnumbering losers 451 to 414.

Institutions and foreigners sold a combined 393 billion won worth of stocks, offsetting individuals' stock purchases valued at 297.95 billion won.

U.S. President Donald Trump said on Wednesday that he would announce fresh tariffs on cars, semiconductors and pharmaceuticals over the next month or sooner.

He recently ordered a 25 percent tariff on all steel and aluminum imports, escalating worries of a global trade war.

If imposed, U.S. tariffs would likely hit related industries in Korea.

The latest minutes from the Fed that showed fresh caution on rate cuts also weighed on investor sentiment, analysts said.

“The main index ended in negative territory but didn't fall sharply as investors expect possible negotiations between the Trump government and major trading partners over new tariffs next month,” said No Dong-kil, an analyst at Shinhan Securities.

In Seoul, tech and auto stocks led declines.

Samsung Electronics fell 0.51 percent to 58,400 won, and SK hynix declined 2.97 percent to 212,000 won.

Carmaker Hyundai Motor fell 0.49 percent to 203,000 won, and shipbuilder HD Hyundai Heavy Industries plunged 11.96 percent to 305,500 won.

Samsung Biologics inched down 0.61 percent to 1,149,000 won, and Celltrion dropped 0.11 percent to 180,400.

Among gainers, battery maker LG Energy Solution rose 2.87 percent to 376,500 won, and refiner SK Innovation climbed 1.08 percent to 131,400 won.

The local currency was quoted at 1,437.90 won against the greenback at 3:30 p.m., down 0.6 won from the previous session.

Bond prices, which move inversely to yields, closed higher. Three-year government bond yields fell 0.3 basis points to 2.627 percent, while the return on the benchmark 10-year U.S. government bonds dipped 1.9 basis points to 4.534 percent.

BY SHIN HA-NEE, YONHAP [[email protected]]