South Korean stocks dropped by more than 1 percent to the lowest point in over seven months Friday amid woes over the US Federal Reserve's further monetary tightening. The local currency rose against the US dollar.

The benchmark Korea Composite Stock Price Index lost 40.8 points, or 1.69 percent, to close at 2,375, marking the lowest level since March 14, when the Kospi finished at 2,348.97.

Trading volume was slim at 507.2 million shares worth 8.8 trillion won ($6.5 billion), with decliners beating gainers 757 to 135.

In a speech delivered at a discussion session in New York on Thursday (US time), Federal Reserve Chairman Jerome Powell said inflation is still "too high," leaving the door open for another interest rate hike.

"Powell's statement and a spike in longer-term bond yields weighed heavily on investor sentiment," said Lee Kyung-min, an analyst at Daishin Securities.

In Seoul, tech and battery stocks led the market decline.

Top-cap Samsung Electronics dropped 1.01 percent to 68,800 won, and home appliance maker LG Electronics fell 0.75 percent to 105,400 won.

Battery shares continued their bearish mode following Tesla's weaker-than-expected third-quarter earnings. Major players LG Energy Solution and Posco Future M tumbled 3.54 percent and 5.66 percent to 436,500 won and 300,000 won, respectively.

Gamemakers were also in negative territory, with NCSoft falling 3.59 percent to 228,500 won and Netmarble dropping 2.98 percent to 37,500 won.

Korean Air Lines decreased 1.43 percent to 19,350 won, and Asian Airlines sank 2.63 percent to 9,640 won ahead of a key board meeting to sell the latter's cargo division for the two company's takeover deal.

Leading pharmaceutical firm Celltrion retreated 0.07 percent to 142,200 won after announcing a general shareholders meeting next week to make a decision on a planned merger with its sales affiliate Celltrion Healthcare.

The local currency ended at 1,352.4 won against the US dollar, up 5 won from the previous session's close. (Yonhap)

• ·Hillstate Gayang flats in Daejeon to go on sale
• ·[HIT Forum] 'Korea ready to become aerospace powerhouse'
• ·Yoon, officials strongly condemn Hamas killings as act of terrorism
• ·Viviz to drop 4th EP ‘Versus’ next month
• ·KT SAT to adopt Starlink for enhanced maritime internet
• ·S. Korea logs current account surplus for 4th month in August
• ·The ruling party vows extraordinary measures to win back people's trust after crushing by
• ·[HIT Forum] Korea's only astronaut highlights humanity's connection with universe
• ·[Herald Interview] 'Korea strives to set global standards for data protection in generative AI era'
• ·218 Koreans head home from Israel: Foreign Ministry
• ·[HIT Forum] Korea's only astronaut highlights humanity's connection with universe
• ·The 2023 Seoul Fantastic Beer Festival
• ·Seoul reviews scenarios for restoring guard posts in DMZ
• ·Seoul shares open higher on US gains after Fed comments
• ·Appeals court upholds 40
• ·[Korean History] In 2003's Daegu, disaster plays out underground