Seoul: Seoul shares continued to increase late Monday morning, tracking overnight gains on Wall Street, amid hopes that the United States and China are nearing a comprehensive trade deal. The benchmark Korea Composite Stock Price Index (KOSPI) rose 89.25 points, or 2.26 percent, to 4,030.84 as of 11:20 a.m.
According to Yonhap News Agency, after a six-day streak of record gains since October 15, the KOSPI paused Thursday as investors locked in profits but rebounded to end in positive territory Friday. On Friday, U.S. stocks also advanced, with the Dow Jones Industrial Average up 1.01 percent and the tech-heavy Nasdaq climbing 1.15 percent.
The rally came after top trade negotiators from the world's two largest economies said Sunday they had reached an agreement on a range of contentious issues, including export controls, fentanyl, and shipping levies. U.S. President Donald Trump and Chinese President Xi Jinping are due to meet in South Korea this week.
Most large-cap shares traded higher. Market bellwether Samsung Electronics jumped 3.14 percent, and chip rival SK hynix surged 4.22 percent. Top carmaker Hyundai Motor rose 1.78 percent, leading shipbuilder HD Hyundai soared 16.74 percent, and shipbuilder Hanwha Ocean gained 3.03 percent.
Among decliners, leading steelmaker POSCO Holdings fell 1.38 percent, while dominant tobacco maker KT and G shed 0.37 percent. The local currency was trading at 1,431.05 won against the greenback as of 11:20 a.m., up 6.05 won from the previous session's close.