Seoul shares sharply up, head for another record

Seoul, Oct 24 (IANS) South Korean stocks extended gains late Friday morning, to head toward setting another record high after days of record rallies, as easing tensions between the United States and China boosted hopes for a trade deal.

The benchmark Korea Composite Stock Price Index (KOSPI) had gained 77.95 points, or 2.03 per cent, to 3,923.51 during early trade, reports Yonhap news agency.

The index had opened higher as a planned meeting between US President Donald Trump and his Chinese counterpart, Xi Jinping, at the sidelines of the upcoming Asia-Pacific Economic Cooperation meeting, raised hopes of easing trade tensions.

Large-cap shares traded higher, with tech shares leading the gain. Among heavyweights, chip giant Samsung Electronics increased 2.49 per cent, and rival SK hynix jumped 6.17 per cent.

Leading battery maker LG Energy Solution went up 4.92 per cent. Among decliners, defence giant Hanwha Aerospace went down 1.81 per cent.

The local currency was trading at 1,434.5 won against the greenback, up 5.1 won from the previous session's close.

The South Korean stocks opened sharply higher Friday, led by gains in major technology and financial shares, as easing tensions between the United States and China boosted hopes for a trade deal and helped calm recent market jitters.

After a six-day streak of record gains since last Wednesday, the KOSPI paused on Thursday as investors locked in profits.

Meanwhile, South Korea aims to induce 30 trillion won ($20.8 billion) in corporate investment by 2030 to develop 40 key technologies in the materials, parts and equipment sector, essential in the fields of artificial intelligence (AI) and quantum computing, the industry ministry said on Thursday.

Through the envisioned investment, the country plans to establish 20 special industrial complexes for materials, parts and equipment companies by 2030, including 10 currently in operation, according to the Ministry of Trade, Industry and Resources.

To draw corporate investment, the government plans to offer various incentives, including low-interest loans, subsidies and business consultation services, while streamlining regulations related to construction and research and development (R&D).

--IANS

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