Seoul stocks sharply down over Mideast uncertainties, AI warning
Seoul, Sep 14
Seoul stocks traded sharply lower on Monday, as uncertainties in the Middle East and artificial intelligence-related warnings dampened investor sentiment.
After opening over 3 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) fell 151.27 points, or 2.19 percent, to 6,758.64, as of 11:27 am (local time), reports Yonhap news agency.
Investors remained on the sidelines as anticipated Iran-Gulf talks on navigation in the Strait of Hormuz were postponed.
Also, warnings from AI firms' executives over the pace of technology development dampened investor sentiment.
Market top-cap Samsung Electronics fell 2.31 percent, and its rival SK hynix dipped 4.3 percent.
Battery maker LG Energy Solution retreated 1.11 percent, carmaker Hyundai Motor tumbled 3.01 percent, while defense giant Hanwha Aerospace strengthened 4.07 percent.
The Korean won was quoted at 1,344.3 won against the U.S. dollar, up 0.2 won from the close of the previous stock trading session.
Earlier, Seoul shares fell sharply last Friday as surging oil prices heightened inflation concerns, with investors awaiting key U.S. inflation data for clues about the Federal Reserve's future interest rate policy.
The Korean won rose against the U.S. dollar. After opening 3.29 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) narrowed its losses to close 124.01 points, or 1.76 percent, down at 6,909.91.
Trade volume was moderate at 265.92 million shares worth 19.39 trillion won (US$14.4 billion), with losers outnumbering gainers 473 to 368.
Individuals bought a net 1.87 trillion won worth of stocks, while institutions and foreigners sold a net 1.22 trillion won and 2.29 trillion won, respectively.
Overnight, surging oil prices sparked a sell-off in U.S. stocks amid escalating tensions in the Middle East.
The Dow Jones Industrial Average fell 0.6 percent, while the tech-heavy Nasdaq Composite declined 0.65 percent.
— IANS
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