ID :
38928
Mon, 01/05/2009 - 17:26
Auther :
Shortlink :
http://m.oananews.org//node/38928
The shortlink copeid
Seoul stocks up for 3rd day on Wall Street gains
(ATTN: ADDS bond yields at bottom)
SEOUL, Jan. 5 (Yonhap) -- South Korean shares finished 1.4 percent higher Monday
as foreign investors scooped up big-cap shares following a Wall Street rally on
Friday, analysts said. The local currency gained against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) added 16.17 points to
close at 1,173.57, extending the gauge's gain for a third session. Volume was
heavy at 408.88 million shares worth 5.19 trillion won (US$3.95 billion), with
winners outpacing losers 420 to 400.
"Stabilizing global stock markets lured foreign investors to the local shares,"
said Kwak Jung-bo, an analyst at Hana Daetoo Securities. "Investors have already
priced in bad fundamentals and expect stimulus measures to provide momentum."
Foreign investors continued to purchase more shares than they sold, increasing
their holdings of local stocks for a fourth session.
The Dow Jones industrial average shot up 2.94 percent to a two-month high on
Friday in the first session of 2009, shrugging off a report that U.S. factory
activities fell sharply in December. The tech-heavy Nasdaq gained 3.5 percent.
Financial shares spearheaded the overall rally on news that banks embarked on
weeding out non-viable companies, relieving concerns over their swelling bad
debt.
KB Financial Group, the parent company for largest Kookmin Bank, rose 14.45
percent to 38,800 won and Woori Finance Holding, which controls Woori Bank,
surged by the daily limit of 14.99 percent to end at 7,210 won. Hana Financial
Group also soared 10.24 percent to finish at 21,000 won.
Large-cap electronics shares joined the bullish trading with market-bellwether
Samsung Electronics adding 1.28 percent to 476,000 won. LG Electronics gained
1.16 percent to close at 78,400 won.
Automakers also finished stronger as their sales figures are forecast to improve
down the road. Hyundai Motor, the biggest carmaker, jumped 7.91 percent to 45,000
won and its affiliate Kia Motors added 4.45 percent to 7,280 won.
The local currency finished at 1,313.5 won to the dollar, up 7.5 won from
Friday's close as foreign investors increased holdings of the won to purchase
local shares, dealers said.
Bond prices, which move inversely to yields, closed higher. The return on
three-year Treasuries shed 0.07 percentage point to 3.35 percent and the
benchmark yield on five-year government bonds fell 0.05 percentage point to 3.74
percent.
pbr@yna.co.kr
(END)