Kospi ends down 0.52% amid concerns of delay in Fed's rate cuts

The Kospi fell 14.32 points, or 0.52 percent, to close at 2,744.10 amid speculation of a delay in long-awaited interest rate cuts in the U.S.

A screen in Hana Bank's trading room in central Seoul shows the Kospi closing at 2,744.10 points on Monday, down 0.52 percent, or 14.32 points, from the previous trading session. [YONHAP]

Shares ended lower Monday amid speculation over a possible delay in long-awaited interest rate cuts by the U.S. Federal Reserve, snapping a four-session winning streak. The won fell in value against the dollar.

The Kospi fell 14.32 points, or 0.52 percent, to close at 2,744.10.

Trade volume was moderate at 545 million shares worth 12.2 trillion won ($8.8 billion), with losers outnumbering gainers 522 to 359.

Individuals bought a net 313 billion won worth of stocks, offsetting institutions and foreigners' stock selling valued at 283 billion won.

On Friday, the Dow Jones Industrial Average fell 0.2 percent to 38,589.16 and the Nasdaq Composite rose 0.1 percent to 17,688.88.

The Fed has recently pared back projections for rate cuts this year, raising worries that the central banks in Britain and Europe may follow suit depending on the results of inflation readings this week.

In Seoul, large-cap stocks closed mixed.

Samsung Electronics fell 1.88 percent to 78,100 won, while SK hynix rose 0.9 percent to 223,000 won.

LG Energy Solution declined 3.58 percent to 336,500 won and Posco Holdings shed 2.37 percent to 371,000 won.

Tech shares also closed lower, with Naver dropping 2.24 percent to 166,100 won and Kakao losing 3.42 percent to 42,400 won.

Auto stocks soared. Hyundai Motor jumped 3.92 percent to 278,500 won, and Kia climbed 5.22 percent to 129,100 won.

Shares in Hyundai and Kia jumped on news that Hyundai's wholly owned Indian unit, Hyundai Motor India, has submitted documents for an initial public offering to the Securities and Exchange Board of India. Hyundai seeks to raise up to $3 billion in the IPO.

Hanwha Aerospace rose 4.38 percent to 238,500 won, and the state-run Korea Gas Corporation gained 2.9 percent to hit 53,300 won.

The local currency closed at 1,381.20 won against the greenback, up 1.9 won from the previous session's close.

Bond prices, which move inversely to yields, closed higher. The yield on three-year government bonds fell 4.0 basis points to 3.212 percent, and the return on the benchmark U.S. 10-year government bonds dropped 2.1 basis points to 4.224 percent.

BY KIM JU-YEON, YONHAP [kim.juyeon2@joongang.co.kr]