South Korean shares fall on financials, US trade caution

Shinhan Financial

18/07/2025 04:02

KOSPI falls, foreigners net sellers

Korean won strengthens against dollar

South Korea benchmark bond yield falls

SEOUL, July 18 (Reuters) - Round-up of South Korean financial markets:

** South Korean shares dropped on Friday, weighed down by dour performances among financials, as investors remained on the sidelines ahead of fresh signals on U.S. trade discussions.

** The benchmark KOSPI .KS11 was down 17.96 points, or 0.56%, at 3,174.33, as of 0211 GMT.

** The KOSPI is poised to end the week largely flat, if the current momentum holds.

** "There is resistance around the 3,200 level of the previous high," Kiwoom Securities analysts said in a note.

** U.S. President Donald Trump's latest U.S. tariff threats kept investors on edge, with South Korea facing 25% duties if no deal is reached by August 1.

** Securities firms .KS53 dropped 3.19% and the financials' sub-index .KS49 lost 1.76%, retreating after recent gains on optimism over President Lee Jae Myung's market reform agenda.

** Earlier this week, South Korea adopted a revision to its Commercial Act and launched a task force aimed at securing developed market status from a global index provider, in a bid to tackle the undervaluation of local stocks versus global peers.

** Shares of KB Financial Group 105560.KS, Shinhan Financial Group 055550.KS and Woori Financial Group < 316140.KS> dropped more than 1% each.

** Among other index heavyweights, chipmaker Samsung Electronics 005930.KS was trading flat, while peer SK Hynix 000660.KS edged 0.19% higher. Shares of battery maker LG Energy Solution 373220.KS climbed 1.26%.

** Hyundai Motor 005380.KS and sister automaker Kia Corp 000270.KS were down 0.71% and 0.3%, respectively. Steelmaker POSCO Holdings 005490.KS added 1.63%, while drugmaker Samsung BioLogics 207940.KS lost 1.68%.

** Of the total 933 traded issues, 202 shares advanced, while 689 declined.

** Foreigners were net sellers of shares worth 41.6 billion won ($29.92 million).

** The won was quoted at 1,391.1 per dollar on the onshore settlement platform KRW=KFTC, 0.08% higher than its previous close at 1,392.2.

** In money and debt markets, September futures on three-year treasury bonds KTBc1 gained 0.04 point to 107.14.

** The most liquid three-year Korean treasury bond yield KR3YT=RR fell by 0.3 basis point to 2.477%, while the benchmark 10-year yield KR10YT=RR fell 2.3 basis points to 2.881%.

($1 = 1,390.5000 won)

 (Reporting by Jihoon Lee; Editing by Sherry Jacob-Phillips)

 ((jihoon.lee@thomsonreuters.com;))