Seoul: Shares hit two-week high on US futures' rise, foreign buying
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SOUTH Korean shares rose on Thursday (Oct 6) to their highest in two weeks, tracking gains in US stock futures and helped by foreign buying. The Korean won strengthened, while the benchmark bond yield rose.
The benchmark Kospi ended up 22.64 points or 1.02 per cent at 2,237.86, hitting its highest since Sep 23.
The index advanced for a third straight session and was on course for its first weekly gain in eight, with a 3.82 per cent rise so far this week.
“The market continued its ‘dead cat bounce’ on US stock futures’ strength and favourable FX conditions for foreign buying,” said Lee Kyoung-min, an analyst at Daishin Securities.
Among heavyweights, technology giant Samsung Electronics rose 0.54 per cent and peer SK Hynix gained 0.11 per cent, while battery makers LG Energy Solution and Samsung SDI jumped 1.92 per cent and 2.81 per cent, respectively.
Samsung Electronics is scheduled to report its third-quarter earnings on Friday, which are expected to tumble 25 per cent in the first year-on-year decline in nearly three years.
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Tech firm Naver rose 1.83%, after a five-session losing streak on a deal to acquire a US platform company. Peer Kakao rose 0.55%.
SK Innovation lost 2.24% after Opec+ agreed on a production cut that sent oil prices higher. The oil refiner said it was concerned about the rise in oil prices amid winter demand and high dollar-won rates.
Foreigners were net buyers of shares worth 253.6 billion won (S$257.5 million) on the main board, extending their buying streak to a fifth session.
The won ended 0.55% higher at 1,402.4 per dollar on the onshore settlement platform, after rising into the stronger side of 1,400-mark for the first time in two weeks.
In money and debt markets, December futures on three-year treasury bonds rose 0.06 point to 102.11.
The most liquid three-year South Korean treasury bond yield rose by 1.3 basis points to 4.155%, while the benchmark 10-year yield rose by 5.1 basis points to 4.119%. REUTERS
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