Seoul: Shares post biggest monthly fall in nearly 4 years

SOUTH Korean shares fell sharply on Thursday (Jun 30), and posted their biggest monthly fall in nearly 4 years on worries over high inflation and an impending recession. The Korean won was little changed, while the benchmark bond yield fell.

The benchmark Kospi ended down 45.35 points, or 1.91 per cent, at 2,332.64. The index ended the month 13.2 per cent lower, its biggest drop since October 2018. It fell 15.4 per cent for the quarter, its largest decline since the first quarter of 2020.

Investors are cautious ahead of US Personal Consumption Expenditures (PCE) inflation data, said Mirae Asset Securities’ analyst Park Kwang-nam, adding that gains in China are not helping much as markets are more keen on the broader global economy.

China stocks jumped as data showed factory activity expanded for the first time in 4 months after authorities ended the lockdown in Shanghai.

Among local heavyweights, technology giant Samsung Electronics fell 1.72 per cent, and peer SK Hynix dropped 3.19 per cent.

Battery maker LG Energy Solution slumped 5.24 per cent, while its peers Samsung SDI and SK Innovation lost 6.67 per cent and 4 per cent, respectively. REUTERS