(LEAD) Seoul stocks open lower ahead of earnings reports, Fed decision

(ATTN: UPDATES with latest details in paras 2, 5, 8-11; CHANGES photo)

SEOUL, Oct. 26 (Yonhap) -- South Korean stocks opened lower Monday as investors awaited third-quarter earnings from major chipmakers and the U.S. Federal Reserve's monetary policy decision later this week amid rising oil prices.

After opening 0.92 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) pared its earlier losses to trade down 24.45 points, or 0.46 percent, to 5,524.85 as of 9:15 a.m.

The index gained 0.3 percent Friday but lost 2.08 percent for the week amid heavy foreign selling and volatility in semiconductor shares.

Investors are awaiting earnings reports from SK hynix on Wednesday and Samsung Electronics on Thursday for clues about the outlook for artificial intelligence (AI) chip demand and memory prices.

Investors are also keeping a close eye on the Federal Reserve's two-day policy meeting starting Tuesday (U.S. time), with the central bank widely expected to keep interest rates unchanged amid persistent inflationary pressures.

Wall Street closed lower Friday as rising oil prices and lingering concerns over returns on massive AI investments weighed on sentiment.

Oil prices edged lower from a six-month high early Monday, despite renewed geopolitical tensions after U.S. President Donald Trump signaled his willingness to resume strikes on Iran.

Market heavyweights were mixed.

Market bellwether Samsung Electronics shed 0.7 percent, while chip giant SK hynix gained 1.88 percent.

Battery maker LG Energy Solution decreased 2.74 percent, while top automaker Hyundai Motor went down 1.69 percent.

The Korean won was trading at 1,323.6 won against the U.S. dollar at 9:15 a.m., up 2.6 won from the close of the previous session.

ejkim@yna.co.kr
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