ID :
101796
Fri, 01/22/2010 - 15:12
Auther :
Shortlink :
https://oananews.org//node/101796
The shortlink copeid
Seoul shares end 2.19 pct lower on U.S. falls
(ATTN: ADDS more info in para 6, 13, 14; ADDS bond yields at bottom)
SEOUL, Jan. 22 (Yonhap) -- South Korean stocks closed 2.19 percent lower Friday
on strong foreign and institutional selling sparked by overnight falls on Wall
Street, analysts said. The local currency fell against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) plunged 37.66 points to
1,684.35. Volume was heavy at 605.1 million shares worth 6.51 trillion won
(US$5.65 billion), with losers overwhelming gainers 639 to 184.
"Foreign investors pushed Seoul stocks into the doldrums as they increased their
selling, swayed by reports of President Barack Obama's proposal to impose limits
on commercial banks," said Kim Sung-bong, an analyst at Samsung Securities Co.
The U.S. stock market stumbled Thursday as President Barack Obama proposed an
overhaul of the nation's banking system that could limit financial companies'
ability to make huge profits on trading.
The Dow Jones industrial average skidded 213 points after dropping 122 points on
Wednesday, giving the Dow its biggest two-day point drop since late March last
year.
Most large-cap shares on the Seoul bourse ended in the red, tracking falls by
their U.S. counterparts. The key index fell as low as 1,665 before erasing some
of the losses.
"Retail investors hunted for large-cap bargains, but their buying was not enough
to overpower the overall selling trend," Kim said.
Foreign investors dumped a net 428.6 billion won worth of local shares.
Institutional investors continued their selling streak for a sixth session.
Market bellwether Samsung Electronics dropped 2.94 percent to 825,000 won, a day
after reaching a record-high of 848,000 won.
Global shipbuilding leader Hyundai Heavy Industries fell 3.85 percent to 212,000
won and No.1 steelmaker POSCO plunged 4.07 percent to 590,000 won.
Automakers, however, advanced on bargain hunting by foreign and institutional
investors. Top carmaker Hyundai gained 0.46 percent to 109,500 won and its
smaller affiliate Kia Motors rose 1.03 percent to 19,600 won.
The local currency ended at 1,151 won against the dollar, down 13.90 won from
Thursday's close. The currency reached the 1,150 won level for the first time
since Jan. 4.
Offshore investors pulled down the currency as their appetite for riskier assets
diminished, dealers said. The won at one point dropped as low as 1,155 won
against the greenback during the session's trading.
Bond prices, which move inversely to yields, closed higher. The yield on the
benchmark three-year Treasury note dropped 0.02 percentage point to 4.24 percent,
and the return on five-year government bonds shed 0.01 percentage point to 4.80
percent.
ygkim@yna.co.kr
(END)
SEOUL, Jan. 22 (Yonhap) -- South Korean stocks closed 2.19 percent lower Friday
on strong foreign and institutional selling sparked by overnight falls on Wall
Street, analysts said. The local currency fell against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) plunged 37.66 points to
1,684.35. Volume was heavy at 605.1 million shares worth 6.51 trillion won
(US$5.65 billion), with losers overwhelming gainers 639 to 184.
"Foreign investors pushed Seoul stocks into the doldrums as they increased their
selling, swayed by reports of President Barack Obama's proposal to impose limits
on commercial banks," said Kim Sung-bong, an analyst at Samsung Securities Co.
The U.S. stock market stumbled Thursday as President Barack Obama proposed an
overhaul of the nation's banking system that could limit financial companies'
ability to make huge profits on trading.
The Dow Jones industrial average skidded 213 points after dropping 122 points on
Wednesday, giving the Dow its biggest two-day point drop since late March last
year.
Most large-cap shares on the Seoul bourse ended in the red, tracking falls by
their U.S. counterparts. The key index fell as low as 1,665 before erasing some
of the losses.
"Retail investors hunted for large-cap bargains, but their buying was not enough
to overpower the overall selling trend," Kim said.
Foreign investors dumped a net 428.6 billion won worth of local shares.
Institutional investors continued their selling streak for a sixth session.
Market bellwether Samsung Electronics dropped 2.94 percent to 825,000 won, a day
after reaching a record-high of 848,000 won.
Global shipbuilding leader Hyundai Heavy Industries fell 3.85 percent to 212,000
won and No.1 steelmaker POSCO plunged 4.07 percent to 590,000 won.
Automakers, however, advanced on bargain hunting by foreign and institutional
investors. Top carmaker Hyundai gained 0.46 percent to 109,500 won and its
smaller affiliate Kia Motors rose 1.03 percent to 19,600 won.
The local currency ended at 1,151 won against the dollar, down 13.90 won from
Thursday's close. The currency reached the 1,150 won level for the first time
since Jan. 4.
Offshore investors pulled down the currency as their appetite for riskier assets
diminished, dealers said. The won at one point dropped as low as 1,155 won
against the greenback during the session's trading.
Bond prices, which move inversely to yields, closed higher. The yield on the
benchmark three-year Treasury note dropped 0.02 percentage point to 4.24 percent,
and the return on five-year government bonds shed 0.01 percentage point to 4.80
percent.
ygkim@yna.co.kr
(END)
