Seoul shares edge higher on auto, refiner gains

SEOUL, May 24 (Yonhap) -- South Korean stocks closed 0.29 percent higher on Tuesday as investors hunted for bargains such as automakers and oil refiners, analysts said. The local currency gathered ground against the U.S. dollar.
After swerving in and out of negative territory, the benchmark Korea Composite Stock Price Index (KOSPI) climbed 6.05 points to 2,061.76. Trading volume was moderate at 261.9 million shares worth 6.01 trillion won (US$5.5 billion), with gainers outnumbering losers 417 to 397.
"Automakers and oil refiners, which had fallen sharply in recent sessions, rebounded and shored up the KOSPI," said Lee Jae-man, an analyst at Tong Yang Securities Inc.
Lee, however, noted that foreigners extended their selling streak to a ninth straight session, limiting the market rise. "Offshore investors are continuing to shun risky assets on eurozone debt fears," he said.
Autos, which were bearish on concerns that a labor strike may cut their output, regained upward momentum. Kia Motors, the country's No. 2 automaker, advanced 1.88 percent to 70,400 won, and Hyundai Mobis, the country's largest auto parts maker, rose 1.47 percent to 344,000 won.
Energy companies powered the KOSPI with No. 3 market player S-Oil jumping 4.04 percent to 141,500 won.
State-run Woori Finance Holdings added 3.08 percent to 13,400 won amid brewing speculation of its sale.
In contrast, mobile carriers ended bearish on growing views the government will move to lower telecom rates. Industry leader SK Telecom dropped 2.38 percent to 164,000 won.
Market bellwether Samsung Electronics finished at 865,000 won, down 0.92 percent from the previous session.
The local currency closed at 1,093.4 won to the greenback, up 4.5 won from Tuesday's close, thanks to the bullish stock market, dealers said.
mil@yna.co.kr