South Korean stocks closed 0.17 percent up as eased Greek and Chinese fears encouraged investors to buy oversold shares, analysts said. The local currency gained ground against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) added 3.36 points to close at 2,031.17. Trading volume was moderate at 369.5 million shares worth 6.52 trillion won (US$5.77 billion), with winners beating decliners 484 to 318.
“The (South Korean) market has experienced wide fluctuations in prices, stemming from Grexit concerns and the Chinese stock rout,” said Park Sang-hyun, a senior economist at Hi Investment & Securities Co. “It eased to some extent today.”
The Greece government has submitted to creditors a plan for pension reform and tax hikes in return for additional bailout programs, while Chinese financial authorities have released a set of market-stabilizing measures to end the rout on Thursday.
Park said it is not enough to push the index further as investors are sitting on the sidelines ahead of corporate earnings season.
“Still the lingering China risk kept pulling foreign investors out of the market here,” said the analyst.
Foreigners extended their selling streak to a sixth straight session, dumping a net 72.5 billion won worth of local shares, while institutions offloaded a net 200 billion won.
Cosmetics giant AmorePacific rose 0.53 percent to 382,000 won and LG Household & Healthcare advanced 0.85 percent to 710,000 won, while Cosmetics maker Tonymoly dived 21.09 percent to 50,500 won on the day of its market debut.
KT Corp., the second-largest mobile carrier, rose 0.69 percent to 29,300 won on news that it is planning to invest in an internet-only bank.
Retailers finished mixed, with Lotte Shopping falling 0.65 percent to 229,000 but Hyundai Department Store rising 2.2 percent to 139,500 won as they were awaiting results on who won bids for new downtown duty-free shop operating licenses.
Tech behemoth Samsung Electronics fell 0.47 percent to 1,259,000 won and its rival LG Electronics lost 2.19 percent to 44,750 won.
Carmakers were among the biggest losers due to a sales slump in China, with industry leader Hyundai Motors sinking 2.36 percent to 124,000 won and its sister Kia Motors toppling 6.85 percent to 40,800 won.
Hyundai Mobis, Hyundai’s auto parts affiliate, slid 2.25 percent to 195,500 won and Hankook Tire retreated 4.48 percent to 40,550 won.
The local currency ended at 1,129.7 won versus the U.S. greenback, up 4.2 won from Thursday’s close, as the eased Greek crisis fueled investors’ appetite for risky assets. (Yonhap)
Seoul shares up 0.17 pct on eased Greek, Chinese woes
