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Seoul stocks open higher on Fed's bond purchase plan

(Yonhap)
(Yonhap)

South Korean stocks opened higher Tuesday, tracking overnight gains on Wall Street that followed the US Federal Reserve's asset-buying plan against pandemic uncertainties.

The benchmark Korea Composite Stock Price Index (KOSPI) jumped 57.32 points, or 2.82 percent, to 2,088.14 in the first 15 minutes of trading.

The bullish start followed the Fed's decision to start purchasing a "broad and diversified portfolio" of corporate bonds.

The plan is part of the Fed's quantitative easing project to ensure companies can borrow through the bond market amid the COVID-19 fallout.

The Dow Jones Industrial Average gained 157.62 points, or 0.62 percent, to close at 24,474.12 on Monday (New York time). The tech-laden Nasdaq Composite and the S&P 500 finished up 1.43 percent and 0.83 percent, respectively.

In Seoul, most large caps traded in positive terrain.

Market bellwether Samsung Electronics added 2.20 percent, and No. 2 chipmaker SK hynix gained 2.44 percent.

Top pharmaceutical firm Samsung BioLogics surged 4.70 percent, with leading chemical maker LG Chem up 4.91 percent.

The local currency was trading at 1,205.10 won against the US dollar, up 10.90 won from the previous session's close. (Yonhap)
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