South Korean shares give up early gains as investors head for holidays

South Korean shares gave up early gains to trade little changed on Wednesday as investors turned risk-averse ahead of a long holiday break.

The benchmark KOSPI (.KS11) was up 11.26 points, or 0.16%, at 7,029.17, as of 0214 GMT, after rising nearly 2% earlier in the session.

The Nasdaq (.IXIC) notched a record-high close on Tuesday, lifted by Micron Technology (MU.O) and other AI-related stocks, while the S&P 500 (.SPX) hovered just below a record high as oil prices traded around $100 per barrel.

Foreigners were net sellers of shares worth 188.1 billion won ($139.14 million).

The won was quoted at 1,351.0 per dollar on the onshore settlement platform (KRW=KFTC), 0.41% higher than its previous close at 1,356.5.

In money and debt markets, December futures on three-year Treasury bonds (KTBc1) gained 0.08 point to 102.37.

The most liquid three-year Korean Treasury bond yield (KR3YT=RR) rose by 0.8 basis point to 4.016%, while the benchmark 10-year yield (KR10YT=RR) fell by 5.5 basis points to 4.409%.

($1 = 1,351.9000 won)

South Korean financial markets will be closed on Thursday and Friday for Chuseok holidays.

South Korean President Lee Jae Myung and U.S. President Donald Trump welcomed "significant progress" in discussions on strategic investment projects during a 30-minute meeting on the sidelines of the UN General Assembly, Seoul's presidential office said.

Chipmaker Samsung Electronics (005930.KS) was up 1.90% and SK Hynix (000660.KS) was higher 0.11%, after rising sharply earlier in the session on an overnight rally in U.S. peers.