Seoul stocks open almost flat as investors digest external uncertainties

Seoul's stock market began the day almost unchanged as investors refrained from action amid concerns over external uncertainties, such as the upcoming interest rate decision by the U.S. central bank and surging oil prices. The benchmark Korea Composite Stock Price Index (KOSPI) started slightly lower, but by 9:15 a.m., it had risen 0.69 points, or 0.01 percent, to 6,627.95 points.

Across the Pacific, Wall Street's major indices reflected caution in the face of rising oil costs. The S&P 500 closed 0.45 percent lower, while the tech-focused Nasdaq dipped 0.78 percent. A significant blow to oil supplies came when a critical Saudi Arabian pipeline was targeted in an attack, causing it to go offline. Houthi rebels in Yemen seized additional islands along the Red Sea shipping lanes, adding to Middle Eastern tensions.

This unrest has driven Brent Crude futures, a global oil benchmark, past $108 per barrel, driven by a 2 percent increase.

U.S. Treasury yields also surpassed the 5 percent mark for the first time since July 2007, fueling expectations that the Federal Reserve would announce a rate hike during its September meeting. In Seoul, major companies had a mixed trading day. Samsung Electronics remained flat, whereas SK hynix gained 0.95 percent. Battery producer LG Energy Solution climbed 1.78 percent, while defense firm Hanwha Aerospace rose 0.28 percent. However, Hyundai Motor fell 1.23 percent.

The Korean won slipped against the U.S. dollar, trading at 1,365.8 won per dollar, a decline of 1.2 won from the previous trading session.