Seoul: South Korean stocks opened higher Thursday as chips, heavy machinery and blue chip gains elevated the market despite overnight losses on Wall Street. The benchmark Korea Composite Stock Price Index (KOSPI) rose 23.05 points, or 0.83 percent, to 2,793.89 in the first 15 minutes of trading.
According to Yonhap News Agency, overnight U.S. stocks finished mixed as the Institute for Supply Management (ISM) reported that the Services Purchasing Managers' Index (PMI) for May fell to 49.9, dropping below the 50-point threshold for the first time since June of last year. The Dow Jones Industrial Average fell 0.22 percent, while the Nasdaq composite and the S and P 500 added 0.01 percent and 0.32 percent, respectively.
The KOSPI added momentum from Wednesday's 2.66 percent surge following the inauguration of President Lee Jae-myung, who won the election held after the ousting of former conservative President Yoon Suk Yeol after his failed martial law attempt in December. Most large-cap stocks advanced, with market bellwether Samsung Electronics gaining 0.61 percent, and chip rival SK hynix surging 3.56 percent.
Top defense systems manufacturer Hanwha Aerospace also jumped 3.67 percent, while shipbuilding giant HD Hyundai Heavy Industries added 1.4 percent. Leading steelmaker POSCO Holdings soared 3.26 percent. However, bio and battery shares lost ground, with Samsung Biologics shedding 0.19 percent and leading battery manufacturer LG Energy Solution dropping 0.17 percent.
The local currency was trading at 1,360.90 won against the greenback at 9:15 a.m., up 8.6 won from the previous session.