Seoul stocks make gains

Seoul shares edged up 0.11 percent on Tuesday, as some exporters such as Hyundai Motor advanced after oil prices fell and Wall Street rallied, while construction firms gained on government proposals to build a new city near the capital.
But broader gains were capped in afternoon trade as investors locked in gains in recent outperformers such as shipbuilder Samsung Heavy Industries Co Ltd, which fell 0.99 percent to 25,100 won after on Monday hitting its highest intraday level since September 1995.
The benchmark Korea Composite Stock Price Index (KOSPI) rose 0.11 percent to end at 1,366.50, after earlier rising as much as 0.6 percent. Samsung Electronics Co Ltd, the world's biggest maker of memory chips, rose 0.16 percent to 626,000 won, paring earlier gains of as much as 1.3 percent. Hyundai Motor gained 0.77 percent to 78,400 won.
Construction firms rose as the government's plans to build a new city cemented expectations for an earnings recovery in 2007. Hyundai Engineering and Construction Co Ltd rose 1.13 percent to 53,900 won, bringing its gains over the past seven sessions to 11.6 percent.
However, LG Telecom Ltd dropped 5.26 percent to 11,000 won. The mobile operator lowered its EBITDA margins target for the year on Tuesday after reporting operating profit fell nearly 3 percent from a year earlier.
SK Corp, ended flat after it reported a 28 percent fall in its third-quarter net profit on Tuesday, slightly missing consensus forecasts, amid poor refining margins and weaker underlying demand. Kia Motors Corp dropped 3.06 percent to 14,250 won amid worries the country's second-largest auto maker will float new preferred shares in 2008 to place them with its creditors.
Trade volume reached 240.7 million shares worth 3 trillion won, data at 0700 GMT showed, compared to 240.4 million shares worth 2.9 trillion won on Monday. Gainers edged out decliners by 409 to 340 with 80 titles ending flat.
Foreign investors bought a net 9.7 billion won in shares on the main bourse, while retail investors bought a net 93.9 billion won. Institutional investors sold a net 79.4 billion won.
The December KOSPI 200 futures index rose 0.10 point to 178.80, while the underlying KOSPI 200 spot index gained 0.13 point to 177.49. South Korea's junior and tech heavy Kosdaq market fell 0.26 percent to finish at 585.28.