Round-up of South Korean financial markets:

** South Korean shares fell on Monday as investors feared that rising interest rates to combat inflation would trigger an economic slowdown, with many bracing for a U.S. recession next year. The Korean won strengthened, while the benchmark bond yield rose.

** The benchmark KOSPI fell 5.08 points, or 0.22%, to 2,300.34 as of 06:30 GMT.

** Among the heavyweights, technology giant Samsung Electronics rose 1.60% and peer SK Hynix rose 1.83%, while battery maker LG Energy Solution fell 0.14%.

** South Korean shares, like Taiwanese stock markets, are sensitive to cyclical momentum in the economy and are reacting to recession fears, said Seo Jung-hun, an analyst at Samsung Securities. ** On Friday, U.S. manufacturing activity slowed more than expected in June, with a measure of new orders contracting for the first time in two years, signs that the economy was cooling amid aggressive monetary policy tightening by the Federal Reserve.

** South Korea's finance ministry and central bank said on Monday they had agreed to cooperate in minimizing adverse risks of rising interest rates on vulnerable households and businesses.

** Foreigners were net sellers of 140.5 billion won worth of shares on the main board.

** The won was quoted at 1,297.1 per dollar on the onshore settlement platform, 0.02% higher than its previous close at 1,297.3.

** In offshore trading, the won was quoted at 1,296.6 per dollar, up 0.2% from the previous day, while in non-deliverable forward trading its one-month contract was quoted at 1,295.6.

** The KOSPI has plunged 22.75% this year, and lost 12.2% in the previous 30 trading sessions.

** The trading volume during the session in the KOSPI index was 461.97 million shares. Of the total traded issues of 925, the number of advancing shares was 188.

** The won has lost 8.3% against the dollar this year.

** In money and debt markets, September futures on three-year treasury bonds rose 0.07 point to 103.93.

** The most liquid 3-year Korean treasury bond yield rose by 0.3 basis point to 3.441%, while the benchmark 10-year yield rose by 1.0 basis point to 3.499%. (Reporting by Cynthia Kim; Additional reporting by Youn Ah Moon; Editing by Amy Caren Daniel)


Reuters