South Korean stocks traded higher in late Friday morning, driven by sharp gains in big-cap tech shares like Samsung Electronics and SK hynix. The benchmark KOSPI index added 0.74 percent to 4,138.85 as of 11:20 a.m. This uptick followed positive Wall Street closes and hopes for a year-end Santa Claus rally.
On December 26, Friday, Seoul stocks opened higher amid confidence in the U.S. economy and hopes for a year-end Santa Claus rally. In the first 15 minutes, the KOSPI index rose 0.56 percent to 4,131.59. U.S. major indexes closed higher the previous Wednesday, with the Dow Jones Industrial Average up 0.6 percent and the Nasdaq composite up 0.22 percent. The VIX fear index fell to 13.4 points, its lowest this year, while unemployment benefit applications declined last week, boosting investor confidence.
By late morning at 11:20 a.m., the KOSPI had climbed further to 4,138.85, up 0.74 percent or 30.23 points. Tech giant Samsung Electronics surged 4.77 percent to an all-time high of 116,400 won ($80.74), following reports of its independent development of a smartphone graphic processing unit. Rival SK hynix jumped 2.3 percent, while AI investment firm SK Square soared 4.83 percent after an investment warning was lifted. Samsung C&T gained 1.04 percent.
However, battery maker LG Energy Solution fell 1.79 percent, and power plant firm Doosan Enerbility dropped 1.58 percent. Shipbuilders weakened, with HD Hyundai Heavy down 0.77 percent, Hanwha Ocean off 0.84 percent, and HD Korea Shipbuilding declining 2.4 percent. Financial shares also dipped: KB Financial lost 1.15 percent, and Shinhan Financial slipped 1.41 percent.
The Korean won traded at 1,441.5 against the U.S. dollar, up 8.3 won from the prior session, after briefly falling below 1,440 won. This followed the National Pension Service resuming strategic foreign exchange hedging to stabilize the market, after a verbal intervention by FX authorities on Wednesday.
