Seoul Stocks Surge on Battery Sector Strength, Korean Won Declines

On Friday, Seoul's stock market witnessed a rise driven by significant gains in the battery industry while the U.S. economy's endurance continues to show through. In contrast, the Korean won experienced a decline in value compared to the U.S. dollar.

The main index tracking the Seoul stock market, known as the Korea Composite Stock Price Index (Kospi), increased by 0.33 percent, adding 8.22 points to settle at 2,478.56. Over the course of the week, Kospi has seen a modest rise of 0.2 percent.

Despite a relatively low trading volume with only 285.54 million shares exchanged, valued at about 7 trillion won ($5.2 billion), the number of stocks that closed higher was substantially more than those that ended lower, with 549 stocks gaining compared to 312 losers.

Notably, institutional investors and overseas buyers were net purchasers, acquiring an impressive 380 billion won in shares, which balanced out the selling by individual investors totaling 387 billion won.

The performance of U.S. markets the night before was also positive, with the Dow Jones Industrial Average climbing by 0.6 percent to reach 38,049.13, and the tech-focused Nasdaq index edging up by 0.2 percent to close at 15,510.50.

The latest data on the U.S. gross domestic product (GDP) for the final quarter of the previous year suggested that the U.S. economy is in better shape than many had anticipated.

In Seoul, battery companies shone brightly with notable gains. LG Energy Solution Ltd., a leading battery manufacturer, saw its shares leap by 3.4 percent to 381,000 won. Its parent company, LG Chem Ltd., also witnessed a 3 percent increase to 416,500 won, while Samsung SDI Co., another major player in the battery market, surged by 3.7 percent to 360,500 won.

However, not all stocks experienced growth. Industry leaders like Samsung Electronics Co. dropped by 0.9 percent to 73,400 won, the second-largest chipmaker SK hynix Inc. fell by 1 percent to 136,500 won, and the top automobile producer Hyundai Motor Co. decreased by 0.7 percent ending at 187,300 won.

The local currency, the Korean won, closed weaker at 1,336.30 won against the dollar, marking a 0.5 won decrease from its previous close.

Seoul, Stocks, Kospi