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Seoul: Shares rally to 3-wk high on dovish Fed outlook, won firmer
[SEOUL] South Korean shares rallied to a fresh 3-week high on Wednesday, buoyed by expectations that the US Federal Reserve will take a dovish stance regarding the timing of its next interest rate hike.
The Korea Composite Stock Price Index (KOSPI) soared 1.84 per cent to close at 1,961.17 points, it's highest since October 8.
Shares in LG Electronics surged 4.3 per cent after announcing its third-quarter earnings guidance during afternoon trade, which showed July-September profits had more than doubled compared to a year before.
Samsung Heavy Industries shares jumped 7.1 per cent after a 288 billion won (US$275.07 million) share buyback plan, disclosed via regulatory filing.
The South Korean won was slightly firmer, as dollar bulls were reined in by expectations of the Fed reassuring the market that interest rates could be maintained at near zero levels for a considerable time.
The local currency was quoted at 1,047.3 to the dollar at the conclusion of onshore trade, compared to Tuesday's closing rate of 1,049.7.