Seoul stocks end down 1.13 pct on bank, shipyard setbacks

SEOUL, June 15 (Yonhap) -- South Korean stocks closed 1.13 percent lower Monday
as investors dumped banks and shipbuilders amid lingering jitters over an
economic recovery, analysts said. The local currency fell against the U.S.
dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) declined 16.17 points to
1,412.42. Volume was moderate at 419 million shares worth 4.8 trillion won
(US$3.8 billion), with losers outpacing winners 534 to 272.
"The market failed to find enough upward momentum as many investors were awaiting
corporate earnings to back up its recent rally," said Kwak Byung-ryeol, an
analyst at Eugene Investment & Securities. "Selloffs in banks, shipyards and
shipping companies drove the overall downturn."
Financial shares were significantly dented, with banks and brokerage shares
ending lower. Hana Financial Group tumbled 4.81 percent to 26,700 won, while KB
Financial Group, which controls top lender Kookmin Bank, shed 0.71 percent to
42,000 won. No. 1 brokerage Samsung Securities also plunged 2.74 percent to
71,000 won.
Shipyards and shipping firms added to the downturn. Leading shipbuilder Hyundai
Heavy Industries fell 3.37 percent to 201,000 won, while Hanjin Shipping dropped
3.84 percent to 18,800 won on concerns that rising crude prices could drive up
their operating costs.
Tech and auto companies ended lower. Tech bellwether Samsung Electronics lost
0.86 percent to 579,000 won and No. 1 automaker Hyundai Motor dropped 0.55
percent to 71,900 won.
Telecoms, however, were among the few climbers amid upbeat earnings outlooks.
Leading fixed line telecom operator KT rose 0.81 percent to 37,500 won and its
major rival SK Telecom jumped 1.7 percent to 179,500 won.
The local currency ended at 1,262 won to the dollar, down 8.1 won from Friday's
close, as offshore investors picked up the greenback for safer bets amid setbacks
in stock markets and renewed geopolitical concerns following North Korea's
nuclear test last month, dealers said.
kokobj@yna.co.kr
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