Seoul shares rose 0.5 percent on Friday, rebounding from seven-week lows hit earlier in the session, as investors picked up shares such as POSCO seen as oversold, amid cautious optimism that the worst of a recent sell-off would soon end.
The main KOSPI index has fallen 6.8 percent over the past five sessions, wiping out $51 billion in value. Korea Composite Stock Price Index (KOSPI) rose 0.52 percent to end at 1,372.29, after earlier falling as low as 1,346.31, its lowest intraday level since touching 1,337.35 on March 31.
Shares fell 5.04 percent for the week, the index's biggest decline since losing 6.46 percent in the trading week ended January 20, and its first weekly fall in three.
"Although the issue of US inflation and interest rates is not going to go away, the recent correction looks like it has priced in that uncertainty by now," said Kim Seong-ki, chief investment officer at SH Asset Management.
Investors on Friday sifted through the recent carnage, buying some stocks that had suffered the brunt of losses.
POSCO Co Ltd, the world's fifth-biggest steel maker, rose 1.16 percent to end at 261,500 won after falling 9.9 percent over the past five sessions.
Flat panel maker LG.Philips LCD Co Ltd rose 1.76 percent to 40,500 won, while brokerage Samsung Securities Co, rose 3.48 percent to 53,500 won, after falling 12.5 percent over the past five sessions. Samsung Electronics Co Ltd, the world's biggest maker of memory chips, fell 0.47 percent to 638,000 won.
Trade volume reached 285.9 million shares worth 3.4 trillion won, as of 0640 GMT, compared to 355.8 million shares worth 3.9 trillion won on Thursday. Gainers trumped decliners by 491 to 277 with 63 titles ending flat.
Retail investors bought a net 250.2 billion won, while institutional investors bought a net 149.5 billion won.
The June KOSPI 200 futures index rose 1.20 points to 177.50, while the underlying KOSPI 200 spot index gained 0.76 point to 177.94. South Korea's junior and tech heavy Kosdaq market rose 1.18 percent to finish at 658.56.