S. Korean shares rebound on tech gains

SEOUL, June 21 (Yonhap) -- South Korean shares staged a strong rally on Tuesday following a three-session losing streak as investors picked up technology firms, analysts said. The local currency shot up against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) jumped 28.52 points, or 1.41 percent, to 2,048.17. Trading volume was moderate at 275 million shares worth 6.74 trillion won (US$6.25 billion), with gainers outpacing losers 515 to 294.
"Investors focused on tech issues, believing their recent steep losses were a bit extreme," said Lee Jae-man, an analyst at Tong Yang Securities Inc.
The tech sector, which accounts for around 17 percent of the KOSPI's market capitalization, had undergone sharp losses on fears its second-quarter profits would be dented by a slowing global economy.
"Hopes that the Greek debt situation would somehow improve also prompted investors to buy," said Lee, citing the European Union's pledge Monday to prevent Greece's risk from spilling over to other debt-ridden countries in the region.
Shares gathered ground across the board, with techs leading the climb. Market bellwether Samsung Electronics rose 1.75 percent to 814,000 won. Hynix Semiconductor jumped 2.78 percent to 25,900 won after its creditors announced a bid invitation for a 15 percent stake in the world's No. 2 chipmaker.
Financials also ended bullish. No. 3 player Shinhan Financial Group surged 4.42 percent to 50,800 won, and state-run Woori Finance Holdings spiked 4.84 percent to 13,000 won.
Top steelmaker POSCO ended at 439,000 won, up 4.14 percent from the previous close.
In contrast, energy companies landed in negative territory on weak oil costs. GS, the holding company of No. 2 crude refiner GS Caltex, dropped 2.56 percent to 79,800 won, and its smaller rival S-Oil slumped 1.75 percent to 140,500 won.
The local currency ended at 1,078.9 won to the U.S. dollar, up 7 won from Monday's close, as investor demand for the local currency increased amid the KOSPI's rise, dealers said.
mil@yna.co.kr