Seoul: Seoul shares tumbled for the third straight day on Thursday as the outcome of the U.S. Federal Reserve's recent rate-setting meeting left investors uncertain. Concurrently, the local currency weakened against the U.S. dollar.

According to Yonhap News Agency, the Korea Composite Stock Price Index (KOSPI) experienced a decline of 24.38 points, or 0.59 percent, settling at 4,110.62 amidst volatile trading sessions. The trading activity was robust, with a volume of 534 million shares valued at 20 trillion won (US$13.5 billion). The market saw more gainers than losers, with 549 rising stocks compared to 325 decliners.

Foreign investors purchased a net 346 billion won worth of domestic shares, while individual investors acquired a net 403 billion won. In contrast, institutional investors sold a net 771 billion won. The Federal Open Market Committee (FOMC), after a two-day meeting, opted to reduce the key interest rate by 0.25 percentage points, placing it within the range of 3.5-3.75 percent.

During a subsequent press briefing, Federal Reserve Chair Jerome Powell indicated that the recent rate adjustments have brought the central bank's monetary policy "within a broad range of estimates of its neutral value," suggesting that the bank is now "well positioned to wait and see how the economy evolves."

Seo Sang-young, an analyst at Mirae Asset Securities, commented, "With the Federal Reserve limiting its rate cut to just one next year, the market felt a sense of burden."

In the stock market, leading company Samsung Electronics saw its shares drop by 0.65 percent to 107,300 won, while LG Energy Solution's shares rose by 1.02 percent to 446,000 won. SK hynix faced a significant decline of 3.75 percent, closing at 565,000 won, following an investor warning issued by the Korea Exchange due to recent sharp gains in its stock. This warning prohibits investors from purchasing shares in companies under advisory through margin trading.

The construction sector showed gains, with Hyundai Engineering and Construction increasing by 2.51 percent to 73,600 won, and GS Engineering and Construction advancing by 1.97 percent to 19,630 won.

The local currency was quoted at 1,473 won per U.S. dollar at 3:30 p.m., marking a decrease of 2.6 won from the previous session. Bond prices, which typically move inversely to yields, concluded lower. The yield on three-year Treasurys rose by 0.6 basis points to 3.101 percent, while the yield on benchmark five-year government bonds increased by 2.5 basis points to 3.361 percent.