Seoul shares dip 3 pct late Fri. morning amid U.S. slowdown woes

Seoul shares extended losses late Friday morning as disappointing U.S. economic data sparked fears of an economic slowdown despite the Federal Reserve's rate-cut signals. The benchmark Korea Composite Stock Price Index had fallen 83.45 points, or 3 percent, to 2,694.23 as of 11:20 a.m. Institutions and foreigners sold a combined 894 billion won (US$650 million) worth of stocks, offsetting individuals' stock purchases valued at 893 billion won. Overnight, the Dow Jones Industrial Average fell 1.2 percent to 40,347.97 points, while the tech-heavy Nasdaq plunged 2.3 percent to 17,194.15. Asian stocks fell in line with Wall Street losses. Japanese stocks also tumbled on a strong yen and concerns over the U.S. economy. U.S. data showed unemployment claims hit the highest in almost a year and manufacturing shrank. The monthly employment data is set to be released Friday (U.S. time). The Fed signaled this week it is on course to cut its benchmark rates in September if conditions meet its forecast. In Seoul, most large-cap stocks declined. Market bellwether Samsung Electronics fell 3.4 percent, No. 2 chipmaker SK hynix Inc. plunged 8.7 percent, top carmaker Hyundai Motor Co. shed 3.9 percent, and leading battery maker LG Energy Solution Ltd. was down 0.2 percent. Among gainers, refiner S-Oil Corp. rose 0.4 percent, Hybe, the K-pop powerhouse behind BTS, climbed 3.8 percent, another K-pop agency SM Entertainment gained 1.7 percent, and leading wireless services provider SK Telecom Co. was up 1.7 percent. The local currency was trading at 1,375.95 won against the U.S. dollar, down 9.75 won from the previous session. Source: Yonhap News Agency