Seoul: Shares rebound on battery makers boost

A surge in battery makers helped South Korean shares rebound on Tuesday (Sep 20) and close higher, although the sentiment remained largely cautious ahead of a US central bank meeting. The won strengthened, while the benchmark bond yield rose.

The benchmark Kospi ended up 12.19 points or 0.52 per cent at 2,367.85, after a 4-session losing streak that saw the benchmark hitting a more than 2-month low.

The gains were led by electric-vehicle battery makers. LG Energy Solution, Samsung SDI and SK Innovation rose 1.26 per cent, 4.28 per cent and 1.42 per cent, respectively.

Among other heavyweights, technology giant Samsung Electronics fell 1.06 per cent and peer SK Hynix lost 2.22 per cent. Still, more than two-third of stocks advanced among 931 traded issues.

"The local market tracked Wall Street's overnight strength, while a mix of recession worries and rising interest rates continued to weigh," said Lee Kyoung-min, analyst at Daishin Securities.

The US Federal Reserve's monetary policy meeting is also in focus, with expectations of at least 75 basis points and attention to its future policy projections.

Foreigners were net sellers of shares worth 78.6 billion won (S$79.6 million) on the main board.

The won was last quoted at 1,389.5 per dollar on the onshore settlement platform, 0.3 per cent higher.

In offshore trading, the won was quoted flat at 1,390 per dollar, while in non-deliverable forward trading its 1-month contract was quoted at 1,388.3.

In money and debt markets, September futures on 3-year treasury bonds fell 0.16 point to 103.45 in late afternoon trade.

The most liquid 3-year Korean treasury bond yield rose by 4.3 basis points to 3.801 per cent, while the benchmark 10-year yield rose by 3.3 basis points to 3.832 per cent. REUTERS

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