Seoul Stocks Slump Amid Inflation Fears Over Soaring Oil Prices
Seoul's stock market closed lower on Thursday due to inflation concerns fueled by surging oil prices. The escalating tensions in the Middle East have driven up oil prices, which is causing investors to worry about inflation and potential interest rate hikes from the US Federal Reserve.
The benchmark Korea Composite Stock Price Index (Kospi) fell 17.72 points, or 0.25 percent, to close at 7,033.92. The tech sector was particularly affected, with leading stocks such as Samsung Electronics, SK hynix, and LG Energy Solution declining by up to 1.62 percent.
Investors are now waiting for the release of key US inflation data on Friday, which is expected to provide clues about the Fed's future rate path. The Dow Jones Industrial Average fell 0.77 percent overnight, while the tech-heavy Nasdaq Composite declined 0.64 percent.