South Korean stocks slip from record high after Fed outcome

SEOUL: Round-up of South Korean financial markets:

** South Korean shares fell on Thursday to be on track to snap a five-day rally, after the U.S. Federal Reserve signalled it might raise interest rates at a much faster pace than expected.

** The won lost more than 1per cent, while the benchmark bond yield rose.

** The benchmark KOSPI fell 23.36 points, or 0.71per cent, to 3,255.32 by 0052 GMT, sliding from its all-time high touched on Wednesday. The index is up 13.29per cent so far this year.

** U.S. central bank officials moved their first projected rate increases from 2024 into 2023 and opened talks about when to pull back on the Fed's US$120 billion in monthly bond purchase.

** Among heavyweights, technology giant Samsung Electronics fell 1.10per cent and peer SK Hynix fell 2.32per cent. LG Chem rose 2.85per cent and Naver slid 1.41per cent.

** Foreigners were net sellers of 157.4 billion won (US$139.39 million) worth of shares on the main board.

** Meanwhile, South Korean central bank said on Thursday it has agreed to renew an existing currency swap agreement with the U.S. Federal Reserve for another three months to at least Dec. 31, 2021.

** The won was quoted at 1,129.2 per dollar on the onshore settlement platform, down 1.06per cent and set for the sharpest decline in near four months.

** In offshore trading, the won was quoted at 1,128.8 per dollar, up 0.3per cent, while in non-deliverable forward trading, its one-month contract was quoted at 1,128.4.

** In money and debt markets, September futures on three-year treasury bonds fell 0.12 point to 110.22.

** The most liquid 3-year Korean treasury bond yield rose by 3.6 basis points to 1.322per cent.

(US$1 = 1,129.2200 won)

(Reporting by Joori Roh; editing by Uttaresh.V)