SEOUL-- South Korean stocks traded sharply higher late Thursday morning as bargain hunters sought oversold stocks on expectations of a rebound.

The benchmark Korea Composite Stock Price Index (KOSPI) rose 48.92 points, or 1.68 percent, to 2,957.23 points as of 11:20 a.m.

The key stock index got off to a strong start after three days of losses.

Investor sentiment was boosted by progress in a debt ceiling impasse in the United States that lifted U.S. stock prices overnight.

Most large caps traded higher in Seoul, with tech and auto heavyweights leading the market advance.

Market kingpin Samsung Electronics added 0.84 percent, but No. 2 chipmaker SK hynix retreated 0.31 percent.

Internet portal operator Naver surged 5.36 percent, and pharmaceutical giant Samsung Biologics jumped 3.29 percent.

Top automaker Hyundai Motor increased 2.32 percent, with its smaller affiliate Kia leaping 4.55 percent. Leading chemical firm LG Chem shed 1.21 percent, and top bank cap Kakao Bank advanced 3.97 percent.

The local currency was trading at 1,189.35 won to the U.S. dollar, up 2.95 won from the previous session's close.

Source: Yonhap News Agency