South Korean stocks are likely to move in a tight band with investors awaiting developments surrounding financial rescue packages in the United States, analysts said on Friday. "The key index is likely to trade in a narrow range as the market still lacks strong momentum for an up turn, "Hana Daetoo Securities analyst Kwak Joong-Bo told Yonhap news agency.
Over the week to February 13, the KOSPI lost 17.82 points or 1.47 percent to close at 1,192.44. Analysts told Dow Jones Newswires the market's movement would depend on whether foreigners continue their selling spree in the cash market.
Kim Seong-Bong, of Samsung Securities, said investors are expected to watch developments in the US bank rescue plan and a potential programme to subsidise mortgages. Hopes that China's stimulus measures will bear fruit are expected to provide support at around 1,150 points, said Lee Woo-Hyun, a KTB Investment and Securities analyst.