Seoul shares open lower as US bond yields climb again

Seoul's stock market opened on a lower note on Friday, echoing the decline observed on Wall Street overnight. This was primarily due to a fresh rise in U.S. Treasury yields and the impact of higher oil prices on investor confidence. The Korea Composite Stock Price Index (KOSPI), which serves as the benchmark for the market, slipped by 92.63 points, or 1.35 percent, at the opening market bell.

U.S. Treasury yields resumed their upward trajectory on Thursday, wiping out much of the previous day's decline. This reversal occurred after the U.S. Treasury announced an expanded bond buyback plan. However, this move appeared to provide only a short-term respite from the rising costs of long-term borrowing, leaving investors skeptical about its long-term effectiveness.

Meanwhile, the broader international markets were also in a downward spiral. The Dow Jones Industrial Average dropped 1.32 percent, while the S&P 500 declined by 0.87 percent. The tech-heavy Nasdaq Composite Index also slid by 1 percent. These market movements were further exacerbated by higher oil prices, with Brent crude oil surging by more than 2 percent. This increase in oil prices was fueled by renewed tensions between the United States and Iran.