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Shares up after fall in U.S. as foreigners buy

Jan 30,2019
Stocks ended slightly higher Tuesday on the back of gains by technology firms and carmakers, analysts said. The Korean won appreciated against the dollar.

The benchmark Kospi gained 6.06 points, or 0.28 percent, to finish at 2,183.36. Trading volume was high at 539 million shares worth 6.27 trillion won ($5.61 billion).

After trading weaker earlier in the session, tracking overnight losses on Wall Street, the index gained ground.

“While the Korean bourse was affected by the weak U.S. market earlier in the session, it eventually closed higher as foreigners purchased Asian shares later in the day, with the Chinese yuan remaining strong,” Lee Jae-sung, a researcher at Samsung Securities said.

Foreign investors bought a net 139.8 billion won worth of stocks and individuals bought a net 22.2 billion won worth of shares. Institutions sold a net 164.8 billion won of stock.

Tech shares closed mostly higher, with Samsung Electronics rising 1 percent to 45,500 won and No. 2 chipmaker SK Hynix adding 2.23 percent to 73,400 won.

Samsung Electro-Mechanics shot up 7.08 percent to 113,500 won.

The company was forecast to have a difficult year ahead on supply concerns, but its major component business, manufacturer of products, such as Multi-layer Ceramic Condensers (MLCC), is still seen as profitable, so the outlook has improved.

LG Chem rose 0.93 percent to 378,000 won.

Carmakers finished strong, with Hyundai Motor advancing 1.19 percent to 128,000 won and Kia Motors increasing 0.29 percent to 34,950 won. Auto parts manufacturer Hyundai Mobis climbed 1.61 percent to 221,000 won.

SK Innovation increased 2.49 percent to 185,500 won, and S-Oil soared 4.04 percent to 103,000 won.

Celltrion fell 0.24 percent to 210,500 won and Samsung BioLogics declined 2.49 percent to 392,000 won. Hanmi Pharmaceutical lost 0.69 percent to 429,500 won.

Mobile carriers also finished down, with SK Telecom falling 1.83 percent to 267,500 won and KT dropping 0.68 percent to 29,100 won. LG U + closed 4.15 percent lower at 16,150 won.

LG Electronics lost 0.44 percent to 67,400 won.

The secondary Kosdaq fell 3.27 points, or 0.46 percent, to end the session at 710.99.

The tech and bio-heavy index was dragged down by foreign and institutional selling. The Nasdaq Composite Index dropped 1.1 percent Monday.

The Korean won closed at 1,116.50 won against the dollar, down 1.20 won

BY KIM HE-YU, YONHAP [kim.heyu@joongang.co.kr]