Key facts
- Seoul stocks closed higher Friday, driven by gains in Samsung Electronics and SK hynix.
- SK hynix announced a plan to repurchase approximately 40 trillion won worth of common shares.
- Samsung Electronics is expected to announce a shareholder return scheme worth up to 110 trillion won.
- The KOSPI index rose 0.88% to close at 6,912.95.
- The Korean won also strengthened against the U.S. dollar.
Seoul stocks concluded the trading session higher on Friday, with the benchmark Korea Composite Stock Price Index (KOSPI) climbing 0.88 percent to 6,912.95. The advance was primarily fueled by anticipated large-scale shareholder return plans from the nation's leading chipmakers, Samsung Electronics and SK hynix. SK hynix revealed a plan to repurchase approximately 40 trillion won (US$28.8 billion) worth of common shares, while Samsung Electronics is expected to announce a scheme valued at up to 110 trillion won later in the day.
Analysts noted that these shareholder return initiatives overshadowed external uncertainties. However, the market's upward momentum was somewhat capped by persistent concerns regarding inflation and government debt, exacerbated by a surprise bond buyback by the U.S. Treasury Department that failed to quell worries and led to rising bond yields. The Korean won also saw gains against the U.S. dollar.