South Korean shares end higher as central bank signals more rate cuts

Published on 08/28/2025 at 04:08 am EDT

• KOSPI rises, foreigners net sellers
• Korean won strengthens against dollar
• South Korea benchmark bond yield falls

(Reuters) - Round-up of South Korean financial markets:
** South Korean shares rose on Thursday, as the central bank signalled more interest rate cuts with a marginal upgrade in its economic growth outlook for this year. The won strengthened, while the benchmark bond yield fell.
** The benchmark KOSPI closed up 9.16 points, or 0.29%, at 3,196.32.
** The Bank of Korea held interest rates steady for a second straight review amid concerns about housing market risks but flagged further easing to counter the hit to growth from U.S. tariffs.
** The central bank revised up its growth forecast for this year to 0.9% from 0.8%.
** "There was optimism that economic growth would improve on the government's supplementary budget, while the central bank governor's signals of a rate cut at the next meeting were also favourable," said Seo Sang-young, an analyst at Mirae Asset Securities.
** Among index heavyweights, chipmaker Samsung Electronics fell 1.42%, while peer SK Hynix gained 3.27%. Battery maker LG Energy Solution slid 2.54%.
** Hyundai Motor and sister automaker Kia Corp were up 0.91% and up 2.13%, respectively. Steelmaker POSCO Holdings shed 2.04%, while drugmaker Samsung BioLogics fell 0.78%.
** Of the total 933 traded issues, 483 shares advanced, while 383 declined.
** Foreigners were net sellers of shares worth 24.2 billion won ($17.43 million).
** The won was quoted at 1,387.6 per dollar on the onshore settlement platform, 0.48% higher than its previous close at 1,394.2.
** In money and debt markets, September futures on three-year treasury bonds lost 0.06 point to 107.38.
** The most liquid three-year Korean treasury bond yield rose by 1.5 basis points to 2.415%, while the benchmark 10-year yield fell by 0.6 basis point to 2.819%. ($1 = 1,388.1500 won)
( Reporting by Jihoon Lee; Editing by Eileen Soreng )

Sumber : Reuters