The South Korean stock market has experienced fluctuations over the past four trading sessions, following a downward streak that saw a decrease of nearly 10 points, equivalent to 0.4 percent. As of now, the KOSPI index is slightly above the 2,515-point mark and may face further declines as it opens on Monday.
The outlook for Asian markets appears subdued, largely due to apprehensions related to the U.S. tariffs that went into effect over the weekend. While European markets showed an upward trend, American markets declined, suggesting that Asian markets might likely follow the U.S. trend.
On Friday, the KOSPI closed modestly lower, with technology stocks witnessing losses, while financials and automobile manufacturers showed gains. The performance of chemical companies presented a mixed scenario. Specifically, the index fell by 19.43 points, or 0.77 percent, concluding at 2,517.37, having fluctuated between 2,496.95 and 2,537.98 during the session. Trading volume reached 443 million shares valued at 13.3 trillion won, with 560 stocks declining and 333 advancing.
In terms of individual stocks, KB Financial saw an improvement of 3.15 percent, Hana Financial and Shinhan Financial each gained 2.20 percent, Samsung Electronics decreased by 2.42 percent, Samsung SDI dropped 1.99 percent, and LG Electronics slipped 1.06 percent. SK Hynix experienced a significant decline of 9.86 percent, while Naver surged 6.13 percent. LG Chem fell by 0.84 percent, Lotte Chemical gained 0.54 percent, POSCO Holdings and SK Innovation both lost 0.38 percent. On the other hand, SK Telecom climbed 1.09 percent, KEPCO increased by 0.24 percent, Hyundai Motor edged up 0.49 percent, and Kia Motors gained 0.29 percent; Hyundai Mobis remained unchanged.
Wall Street provided a negative cue, as major indices began Friday on a positive note but declined later in the session, resulting in a red finish across the board. The Dow Jones Industrial Average fell 337.44 points or 0.75 percent to close at 44,544.66. The NASDAQ dropped 54.26 points or 0.28 percent, closing at 19,627.44, while the S&P 500 slipped 30.64 points or 0.50 percent to finish at 6,040.53. Over the week, the Dow increased by 0.3 percent, whereas the S&P 500 and NASDAQ declined by 1.0 percent and 1.6 percent, respectively.
Stocks faced a downturn in the afternoon following the confirmation by White House Press Secretary, Karoline Leavitt, that the Trump administration’s threatened tariffs would be imposed on key U.S. trading partners starting the next day. The tariffs include a 25 percent charge on imports from Mexico and Canada and a 10 percent tariff on China. This announcement heightened worries about potential inflation, which could influence the Federal Reserve's monetary policy decisions.
In related news, oil futures settled lower on Friday amid uncertainties surrounding the implementation of Trump's tariffs on Canada and Mexico, compounded by the strength of the dollar. West Texas Intermediate crude oil futures for March decreased by $0.20, settling at $72.53 per barrel.
