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Seoul: Won climbs to 5-week high on risk-on mood, stocks wobble
[SEOUL] The South Korean won rose to its strongest intraday level in five weeks on Wednesday, as a weak US dollar and rise in global oil prices broadly boosted risk sentiment.
The won stood at 1,157.8 to the US dollar as of 0149 GMT, up 0.4 per cent compared with Tuesday's close of 1,162.7.
"The won's upward trend will last for the time being since many market factors are renewing risk appetite among investors," said Park Sung Woo, an analyst at NH Futures.
He added that the market would keep on eye on future economic data from the world's top economy to judge the possibility of a US Federal Reserve rate hike in July.
South Korean shares fluctuated in and out of positive and negative terrain in early trade as domestic institutions sold stocks to take profit following gains the previous day.
The Korea Composite Stock Price Index (Kospi) was up 0.2 per cent at 2,015.13 points.
Offshore investors were poised to be buyers, purchasing a net 127.9 billion Korean won (S$149.7 million) worth of Kospi shares near the mid-session.
Shares of Samsung Electronics Co Ltd were set to snap a five-day gaining streak. The company broke into the 1,400,000 won level in 13 months as soon as the market opened, but then shortly changed course.
Automobile manufacturer Hyundai Motor Co was up one per cent.
Decliners outnumbered advancers 482 to 308.
June futures on three-year treasury bonds gained 0.07 point to 110.55.