South Korean shares end lower on caution ahead of US jobs data

SEOUL: Round-up of South Korean financial markets:

South Korean shares rise for third day on AI boost

• South Korean shares declined on Friday amid investor caution ahead of US employment data due later in the day, with battery and e-commerce firms dragging the benchmark index lower.

• The KOSPI closed down 14.83 points, or 0.58%, at 2,521.92, ending a three-session gaining streak.

• Still, the index ended the week up 0.2%, after a fall of 0.8% last week, when the market was closed for four days due to Lunar New Year holidays.

• US job growth likely slowed in January, though not enough for the Federal Reserve to resume interest rate cuts before the end of the first half, according to a Reuters poll.

• “The market was in a wait-and-see mode ahead of US employment data, which, if strong, will weigh on the market,” said Lee Kyoung-min, an analyst at Daishin Securities.

• South Korea’s acting president Choi Sang-mok ordered authorities to closely monitor the impact of US policies on the domestic economy and financial markets.

• Bank of Korea Governor Rhee Chang-yong said on Thursday an anticipated rate cut this month was not a “done deal”, Bloomberg News reported.

• Battery maker LG Energy Solution slid 1.75%, tracking overnight losses in US electric-vehicle maker Tesla. Peers Samsung SDI and SK Innovation fell 1.18% and 2.73%, respectively.

• Search engine Naver and instant messenger Kakao ended down 2.80% and 1.77%, respectively, on profit-taking after recent sharp gains.

• Korea Gas Corporation slumped by 13.8%, after the government assessed that the country’s oil and gas project off its east coast might not be economically feasible.

• Foreigners were net sellers of shares worth 268.9 billion won ($185.78 million).

• The won was quoted at 1,447.8 per dollar on the onshore settlement platform, 0.02% lower than its previous close at 1,447.5.

• The most liquid three-year Korean treasury bond yield rose 4.7 basis points to 2.626%, while the benchmark 10-year yield rose 7.2 bps to 2.838%.