Seoul: Stocks extend gains on tech boost

[SEOUL] South Korean shares rose on Friday for a fourth straight session and were poised to post their 11th weekly gain in 12, led by technology heavyweights Naver and Kakao. The won weakened, while the benchmark bond yield rose.

The Kospi rose 17.64 points or 0.6 per cent to 3,178.48 by 0200 GMT, adding 2.8 per cent so far this week. It had settled 1.5 per cent higher on Thursday, marking its record close.

Portal giant Naver and messenger app operator Kakao surged 7.9 per cent and 4.1 per cent respectively, following gains in Apple Inc and other US tech shares.

Other major heavyweights traded mixed. Chip giant Samsung Electronics was up 0.2 per cent, while peer SK Hynix slid 0.8 per cent.

A Reuters poll showed the South Korean economy likely grew at a slower pace in the fourth quarter as a boost in exports was partially offset by sluggish domestic demand due to toughened Covid-19 social distancing measures since late last year.

"Investors are closely watching the US$1.9 trillion US stimulus and US Treasury Secretary Janet Yellen's remark. Next week's US Federal Reserve meeting is also eyed," said DS Investment & Securities' Na Jeong-hwan.

Foreigners were net sellers of 44.3 billion won (S$53.2 million) worth of shares on the main board.

The won was quoted at 1,101.2 per US dollar on the onshore settlement platform, 0.3 per cent lower than its previous close.

In offshore trading, the won was quoted at 1,101.2 per US dollar, while in non-deliverable forward trading its one-month contract was quoted at 1,100.6.

In money and debt markets, March futures on three-year treasury bonds fell 0.06 point to 111.54.

The most liquid three-year Korean treasury bond yield rose by 0.8 basis points to 0.979 per cent.

REUTERS