South Korean shares drop as traders gauge Trump's latest tariff threat

SEOUL, Feb 20 (Reuters) - Round-up of South Korean financial markets:

South Korean shares fell on Thursday, poised to snap a seven-day rally, pressured by chip, automakers and biopharmaceutical stocks as traders kept to the sidelines following U.S. President Donald Trump's latest tariff threat.

The benchmark KOSPI .KS11 was down 16.78 points, or 0.63%, at 2,654.74, as of 0059 GMT. The index closed on Wednesday at its highest point since late September 2024.

Trump said he will announce tariffs related to lumber, cars, semiconductors and pharmaceuticals "over the next month or sooner".

Shares of chipmaker Samsung Electronics 005930.KS fell 0.34% and peer SK Hynix 000660.KS lost 0.92%, while Hyundai Motor 005380.KS and sister automaker Kia Corp 000270.KS traded down 0.98% and 1.26%, respectively.

Samsung Biologics 207940.KS fell 1.73% while biopharmaceutical peer Celltrion 068270.KS shed 0.17%.

Among other index heavyweights, battery manufacturers and steel producers rose, while e-commerce firms were mixed.

South Korean stocks with exposure to businesses in China rallied on media reports that Beijing plans to lift an unofficial ban on Korean contents in the first half of 2025.

Of the total 937 traded issues, 430 shares advanced, while 446 declined.

Foreigners were net sellers of shares worth 169.9 billion won ($118.20 million).

The won was quoted at 1,442.1 per dollar on the onshore settlement platform KRW=KFTC, 0.05% lower than its previous close at 1,441.4.

In money and debt markets, March futures on three-year treasury bonds KTBc1 fell 0.02 point to 106.61.

The most liquid three-year Korean treasury bond yield KR3YT=RR rose by 1.6 basis points to 2.639%, while the benchmark 10-year yield KR10YT=RR climbed 1.9 basis points to 2.888%.

($1 = 1,437.4500 won)