Seoul: Stocks jump over 1% as chipmakers rally

[SEOUL] South Korean shares rose more than 1 per cent on Thursday and extended gains to a third straight session as strong foreign buying powered local chip stocks. The benchmark Kospi closed up 31.53 points, or 1.33 per cent, at 2,395.90.

Chip giant Samsung Electronics ended 3.7 per cent higher, tracking a surge in the Philadelphia Semiconductor index, after Nvidia Corp's announcement on its new gaming chips in collaboration with Micron Technology and Samsung.

Samsung's peer SK Hynix and the subindex for electric and electronics stocks jumped 4.2 per cent and 3.2 per cent, respectively.

Further boosting sentiment, South Korea's government announced a plan to create a US$16.84 billion fund over the next five years for President Moon Jae-in's "New Deal" programme.

Foreigners were net buyers of 194 billion won (S$222.5 million) worth of shares on the main board.

REUTERS