SEOUL: Round-up of South Korean financial markets:
South Korean shares rise; domestic political developments in focus
South Korean shares erased early gains to end lower on Monday, as traders took a cautious approach ahead of US President-elect Donald Trump’s inauguration.
The benchmark KOSPI closed down 3.50 points, or 0.14%, at 2,520.05.
The KOSPI rose as much as 0.5% in early trade, tracking Wall Street’s gains on Friday, but erased the gains near the session close.
Trump, who will be sworn in as president of the United States later on Monday, has pledged to sign a flurry of executive orders on subjects ranging from border security to oil and gas production on his first day in office.
“Of course, tariff and immigration policies will be most important. Still, his tariff policies are expected to be less than a disaster, leaving room for negotiations and being gradual,” said Huh Jae-hwan, an analyst at Eugene Investment Securities.
South Korea pledged a record amount of financing support for exporters to mitigate any negative impact from changes in US trade policies.
Among index heavyweights, chipmakers and automakers fell, but battery makers tracked Tesla’s 3.1% jump on Friday.
Of the total 944 traded issues, 389 shares advanced, while 491 declined.
Foreigners were net sellers of shares worth 414.6 billion won ($285.69 million).
The won was quoted at 1,451.7 per dollar on the onshore settlement platform, 0.47% higher than its previous close at 1,458.5.
In money and debt markets, March futures on three-year treasury bonds fell 0.04 point to 106.81.
The most liquid three-year Korean treasury bond yield rose by 1.7 basis points to 2.604%, while the benchmark 10-year yield rose by 7.0 basis points to 2.864%.