Seoul shares open lower on U.S. losses after Fed rate cut

Seoul shares opened lower Thursday tracking losses on Wall Street after the Federal Reserve cut interest rates by a half percentage point, the first rate cut in more than four years. The benchmark Korea Composite Stock Price Index fell 0.35 percent, or 8.90 points, to 2,565.51 in the first 15 minutes of trading. The Fed cut its overnight lending rate to a range of 4.75 percent to 5 percent in an aggressive start to a monetary-easing cycle in the world's biggest economy. The U.S. central bank likely made the decision as it sees inflation levels are easing from the levels seen two years ago, analysts said. In Seoul, large-cap stocks were mixed. Market bellwether Samsung Electronics Co. fell 2 percent, No. 2 chipmaker SK hynix Inc. retreated 7.6 percent, state utility Korea Electric Power Corp. shed 0.7 percent, and Hyundai Steel Co. was down 0.8 percent. Among gainers, top carmaker Hyundai Motor Co. rose 3 percent, LG Chem Ltd. climbed 0.5 percent, state-run Korea Gas Corp. gained 1.1 percent, and leadin g battery maker LG Energy Solution Ltd. was up 0.3 percent. The local currency was trading at 1,329.45 won against the U.S. dollar, up 0.05 won from the previous session. Source: Yonhap News Agency