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Seoul shares fall nearly 2% on profit taking

Published: 04 Jul. 2025, 19:01 Updated: 04 Jul. 2025, 19:10

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 3,054.28 points on July 4, down 61.99 points, or 1.99 percent, from the previous trading session. [YONHAP]

Shares finished markedly lower on Friday, as investors took a breather following recent gains while watching developments in tariff talks with the United States. The local currency fell against the U.S. dollar.

The Kospi fell 61.99 points, or 1.99 percent, to close at 3,054.28.

Trade volume was moderate at 511.83 million shares worth 13.25 trillion won ($9.93 billion), with losers beating winners 738 to 160.

Institutional investors net sold 444.03 billion won worth of stocks, while individuals and foreigners purchased a net 257.06 billion won and 162.27 billion won worth of shares, respectively.

The index opened slightly higher, tracking Wall Street gains, but soon turned negative and extended losses.

The decline came one day after the index jumped to the highest level in nearly four years, driven by the National Assembly's passage of the shareholder-friendly revision of the Commercial Act and progress in tariff talks between the United States and Vietnam.

Eyes are now on Seoul's tariff talks with Washington as just a week remains until the July 8 deadline set by U.S. President Donald Trump.

Trade Minister Yeo Han-koo is scheduled to visit the U.S. this week for last-minute negotiations.

According to foreign media reports, Trump said that his government will start sending letters to trading partners on Friday setting unilateral tariff rates ranging from 10 percent to 70 percent, in effect starting August.

Most large-cap shares lost ground.

Market bellwether Samsung Electronics fell 0.78 percent to 63,300 won, while chip giant SK hynix sank 2.87 percent to 270,500 won.

Major battery maker LG Energy Solution lost 2.51 percent, falling to 310,500 won, and leading biotech firm Samsung Biologics went down 0.57 percent to 1,038,000 won.

Top financial firm KB Financial sank 4.11 percent to 112,100 won, and nuclear power plant manufacturer Doosan Enerbility dipped 3.07 percent to 60,000 won.

Carmakers lost ground. Top carmaker Hyundai Motor retreated 1.86 percent to 210,500 won, and its sister company Kia Motors fell 1 percent to 99,100 won.

Top online portal operator Naver decreased 1.58 percent to 249,000 won, and Kakao, operator of the country's leading mobile messenger app, tumbled 1.85 percent to 58,400 won.

But No. 1 steelmaker Posco Holdings surged 1.44 percent to 316,500 won, and major chemical firm LG Chem advanced 2.92 percent to 264,500 won.

The local currency was quoted at 1,362.3 won against the greenback at 3:30 p.m., up 0.21 percent from the previous session.

Bond prices, which move inversely to yields, closed lower. The yield on three-year Treasurys rose 1.8 basis points to 2.467 percent, and the return on the benchmark five-year government bonds rose 2.5 basis points to 2.620 percent.

Yonhap