South Korean stocks Thursday closed at a record high on overnight gains in U.S. market, analysts said.
The Korea Composite Stock Price Index surged 47.19 points, or 2.7 percent, to 1,769.18. Volume was moderate at 573.3 million shares worth 8.5 trillion won, with winners outnumbering losers 553 to 238.
"The local key index sharply rose as U.S. equity markets rallied on eased concerns over rising interest rates," said Kang Moon-sung, an analyst at Korea Investment & Securities. "The surge came despite worries over fluctuations resulting from triple witching."
Triple witching refers to the simultaneous expiration of stock index futures, stock index options and individual stock options, which usually results in price swings.
Among leading gainers, Mirae Asset Securities Co. surged 7.1 percent at 84,500 won, Samsung Heavy Industries Co. soared 6.5 percent to 44,100 won, and Samsung Electro-Mechanics Co. gained 3.9 percent to 51,000 won.
Brokerage issues gained ground on expectations that the parliament would pass a bill allowing securities companies to offer several banking services. Leading brokerage house Samsung Securities added 6.05 percent to 71,900 won.
Steel and machinery shares, which suffered pullbacks in recent sessions, gained momentum. Top steelmaker POSCO climbed 5.05 percent to 478,000 won and leading power generator maker Doosan Heavy Industries jumped 6.45 percent to 87,500 won.
U.S. stocks closed sharply higher Wednesday on falling bond yields. The Dow Jones industrial average rose 1.41 percent and the tech-heavy Nasdaq composite index advanced 1.28 percent.