11.20 Tue

Business

Local stocks close higher but won depreciates

Aug 04,2018
Korean stocks closed higher Friday despite trade tensions, as investor sentiment was boosted by the latest gains by U.S. tech giant Apple, which saw its market capitalization surpass the $1 trillion mark. The Korean won depreciated against the U.S. dollar.

The benchmark Kospi gained 17.48 points, or 0.77 percent, to close at 2,287.68. Trade volume was low at 4.12 trillion won ($3.65 billion).

Analysts said Seoul shares closed higher on cues from the U.S. stock market, where Apple and other tech giants closed higher. The index, which fell more than 1 percent in the previous session, also rose thanks to bargain hunting by foreigners.

“Information technology shares led the rise in the U.S. market,” said Seo Sang-young, an analyst at Kiwoom Securities. “Related companies in Korea also gained ground.”

Foreigners bought a net 143 billion won, while individuals sold a net 88 billion won. Institutional investors offloaded a net 80 billion won.

Market kingpin Samsung Electronics advanced 0.44 percent to 45,750 won and No. 2 chipmaker SK Hynix closed 0.12 percent higher at 83,300 won. Samsung SDI moved up 1.99 percent to 231,000 won and Samsung Electro-Mechanics increased 1.28 percent to 158,500 won.

Samsung BioLogics closed 3.7 percent higher at 392,000 won and Hanmi Pharmaceutical shot up 0.23 percent to 431,500 won.

Chemical shares also closed higher, with No. 1 LG Chem advancing 4.27 percent to 391,000 won. Cosmetics companies also rose, with LG Household & Health Care finishing 1.52 percent higher at 1,272,000 won and Amorepacific shooting up 2.04 percent to 275,500 won.

T’way Air, which made its first appearance on the market Wednesday, closed 0.86 percent higher at 11,700 won.

Top portal operator Naver added 0.41 percent to 731,000 won, and Kakao gained 1.8 percent to 113,000 won.

Insurance shares were the only losers. Samsung Life Insurance fell 0.31 percent to 95,200 won, while Samsung Marine & Fire Insurance dropped 0.56 percent to 265,500 won.

The secondary Kosdaq gained 7.43 points, or 0.95 percent, to 788.81. Tech and bio shares led the gains, buoyed by a 1.2 percent incline of the U.S. Nasdaq.

The Korean won closed at 1,127.60 won against the U.S. dollar, up 1.5 won from Thursday’s close.

Bond prices, which move inversely to yields, ended higher. The yield on three-year bonds fell 0.5 basis points to 2.11 percent, and the return on 10-year bonds added 0.6 basis points to 2.58 percent.


BY KIM EUN-JIN, YONHAP [kim.eunjin1@joongang.co.kr]
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