South Korean shares rise on dip buying after strong exports
The benchmark KOSPI index recovered from early losses on Monday as robust chip shipments boosted investor sentiment.
South Korean shares recovered from early losses to turn higher on Monday, according to Mint, as strong exports encouraged dip-buying. The benchmark KOSPI index rose 19.49 points, or 0.34 per cent, to 5,750.23 as of 0157 GMT after an initial fall of nearly 2 per cent.
The index had opened lower, following losses on Wall Street regarding spending by AI-related companies. Han Ji-young, an analyst at Kiwoom Securities, said the stock market is in over-sold territory and fundamentals remain solid with improving earnings forecasts.
South Korea's exports nearly doubled in October, marking the sharpest jump in more than 50 years. This increase was driven by global demand for AI investment, which boosted shipments of the country's chips.
In market movements, chipmaker Samsung Electronics fell 1.11 per cent, while SK Hynix gained 0.92 per cent. Battery maker LG Energy Solution slid 0.70 per cent, while Hyundai Motor rose 0.53 per cent and Kia Corp fell 0.63 per cent.
Foreigners were net sellers of shares worth 344.0 billion won ($257.98 million). The Korean won was quoted at 1,337.5 per dollar, down 0.24 per cent from its previous close. The three-year Korean treasury bond yield rose to 3.742 per cent.