Seoul stocks slightly lower late Tues. morning on inflation woes

South Korean stocks experienced a slight dip early Tuesday as rising oil prices raised inflation worries and pushed U.S. Treasury yields higher, exacerbated by Middle East tensions. The Korea Composite Stock Price Index (KOSPI) declined 12.76 points, or 0.19 percent, to 6,876.98 at 11:20 a.m. Local time. Overnight, U.S. stocks fell as heightened tensions between Washington and Tehran caused crude oil prices to surge, leading to concerns about persistent inflation and elevated interest rates.

Treasury yields continued their upward trajectory, with the 10-year yield reaching 5.23 percent and the 30-year yield hitting 5.55 percent, nearing multiyear peaks. The S&P 500 lost 0.77 percent, the Dow Jones Industrial Average slipped 0.67 percent, and the tech-focused Nasdaq composite dropped 0.92 percent. Chip manufacturers, however, showed resilience, with Samsung Electronics and SK hynix recovering some of their previous day's losses.

Meanwhile, major automaker Hyundai Motor saw a decline of 2.12 percent, while battery producer LG Energy Solution dropped 3.43 percent. The Korean won strengthened slightly against the U.S. dollar, trading at 1,359.6 won per dollar as of 11:20 a.m., up 0.3 won from the prior session's close.