(URGENT) Stocks end higher on chip gains amid hopes for shareholder return plans

Seoul stocks surged higher on Friday, buoyed by anticipation of significant shareholder return initiatives from the nation's leading chip manufacturers – Samsung Electronics and SK hynix. The Korean won strengthened against the U.S. dollar. The KOSPI index concluded at 6,912.95, a 0.88% increase from its previous close, after peaking at 6,954.12.

Analysts attributed the local market's rise to the shareholder return plans unveiled by both SK hynix and Samsung Electronics, which outweighed global uncertainties. SK hynix disclosed a proposal to repurchase shares valued at 40 trillion won as part of its shareholder return strategy. It is anticipated that Samsung Electronics will unveil a corresponding plan, potentially amounting to 110 trillion won later in the day.

However, the index's further ascent was curtailed by external factors, such as the U.S. Treasury Department's unexpected bond buyback, which did not alleviate persistent worries about inflation and government debt levels, resulting in a spike in bond yields.