Seoul shares end 1.2 pct higher on bank, tech gains

By Kim Soo-yeon
SEOUL, June 5 (Yonhap) -- South Korean stocks closed 1.2 percent higher Friday as
investors snapped up financial and tech shares following overnight gains in U.S.
markets, analyst said. The local currency gained against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) climbed 16.57 points to
1,394.71. Volume was moderate at 495.1 million shares worth 5.82 trillion won
(US$4.68 billion), with gainers outpacing losers 490 to 324.
"Foreign investors resumed their buying move, giving a boost to the KOSPI's
gain," said Bae Sung-young, an analyst at Hyundai Securities Co. "Investors are
awaiting data on the U.S. unemployment rate due late Friday to gauge the depth of
the economic downturn."
Wall Street rallied on Thursday after the U.S. government reported that the
number of workers continuing to receive unemployment benefits unexpectedly fell
for the first time in 20 weeks. The Down Jones industrial average rose 0.86
percent and the tech-laced Nasdaq surged 1.32 percent.
Financial gains led the broader market's advance. KB Financial Group, the holding
company of Kookmin Bank, rose 2.36 percent to 41,250 won on a foreign media
report that it is seeking to sell $2 trillion won in new shares, raising
speculation that the group may try to buy Korea Exchange Bank with the cash
raised. Korea Exchange Bank, controlled by Lone Star Funds, advanced 4.85 percent
to 9,720 won amid the speculation.
Tech stocks closed in positive territory. Market leader Samsung Electronics
climbed 2.52 percent to 569,000 won and chip giant Hynix Semiconductor rose 4.07
percent to 14,050 won.
The local currency ended at 1,243 won against the greenback, up 8 won from
Thursday's close, as foreign investors picked up Seoul stocks, dealers said.
sooyeon@yna.co.kr
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