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Seoul shares extended losses on Tuesday, failing to maintain a rebound at the open, as losses in some technology stocks and auto makers weighed amid fragile sentiment on the eurozone's lingering debt problems. Foreign investors continued net selling for a third consecutive session, dumping 422 billion won ($366 million) worth of shares, helping send the Korea Composite Stock Price Index 0.5 percent lower to close at 1,643.24 points.
Hynix Semiconductor, the world's No 2 memory chip maker, fell to a two-month low after its bigger rival Samsung Electronics announced on Monday a record $16 billion capital expenditure plan for this year. LG Display, the second biggest liquid crystal display (LCD) panel maker behind Samsung, dropped 3.9 percent on expectations that Samsung would widen the gap with smaller rivals with new investment.
Samsung Electronics ended up 1.0 percent, but its affiliates turned lower after initial excitement over benefits from a Samsung Electronics-led investment spree faded. Kia Motors dropped 7.7 percent, its largest daily percentage loss since January, 2009. Its bigger affiliate Hyundai Motor shed 3.6 percent. KB Financial Group rose 1.6 percent and Samsung Life rose 2.3 percent, clawing back to its IPO price of 110,000 won.
Trading volume stood at 477 million shares worth 6.7 trillion won, compared with 387 million shares worth 7 trillion won on Monday. The KOSPI 200 June futures index finished 1.95 points lower at 214.10 and the KOSPI 200 spot index fell 0.94 point to 214.42. The junior Kosdaq market declined 1.12 percent to 504.52.

Copyright Reuters, 2010

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