Seoul shares ended a touch higher on Wednesday, as gains in retail shares on the prospects for a recovery in domestic demand helped the market overcome concerns about the impact of high oil prices on corporate earnings.
Firmer US technology stocks also helped lift local tech counters, but gains were mostly put down as bargain-hunting following two consecutive sessions of mild losses.
"As the government has expressed its intention to support domestic spending, the market is expected to rise further to around 800 points," said Yoo Ji-yong, a fund manager at CJ Investment Trust Management.
The benchmark Korea Composite Stock Price Index (KOSPI) closed 0.28 percent higher at 773.19 points. Foreign investors sold a net 60.8 billion won ($52.29 million) worth of shares on the main board. Retailers got a boost as investors bet on possible government steps aimed at reviving domestic consumption following the central bank's surprise interest rate cut last week.
Samsung Electronics Co Ltd, the world's biggest maker of memory chips, climbed 1.06 percent to end at 430,000 won. Affiliate Samsung SDI Co jumped 4.66 percent to 123,500 won, buoyed by increasing demand for flat plasma screens for TV sets.
Shinsegae, South Korea's third-biggest department store chain, rose 1.01 percent to 300,000 won, bolstered by hopes for an end to sluggish domestic spending.
Top lender Kookmn Bank also ended 1.34 percent higher at 37,700 won.
Trade volume totalled 331 million shares valued at 1.45 trillion won, compared with 303 million shares valued at 1.51 trillion won a day earlier. Advancers beat decliners by 389 to 331.
The junior Kosdaq inched up 0.25 percent to close at 346.54 points.
The September KOSPI 200 futures index added 0.55 point to 99.05 and the underlying KOSPI 200 spot index rose 0.51 point to 99.48.
Comments
Comments are closed.