LG Electronics is trading 7% down at KRW 61,300 after a surprise interest rate hike by the Bank of Korea triggered broad selling in Korean equities and rate-sensitive names.
- The benchmark interest rate was unexpectedly raised to 2.75%, prompting investors to reassess growth prospects and valuation multiples for cyclical tech and consumer electronics stocks.
- The decline follows a 6.5% drop in the prior session to KRW 65,900, as the market continues to digest the impact of higher borrowing costs.
- The central bank's move has sparked a wider retreat across the Korean equity landscape, particularly affecting sectors sensitive to interest rate fluctuations.