Seoul: Shares rise on hopes of economic recovery as lockdowns ease

[SEOUL] South Korean shares ended higher on Monday, buoyed by hopes of global economic recovery as many countries were seen gradually easing coronavirus-induced restrictions, but caution over escalating US-China tensions capped further gains.

The Seoul stock market's main Kospi closed up 9.83 points, or 0.51 per cent, at 1,937.11.

Summer weather is enticing much of the world to emerge from coronavirus lockdowns as centres of the outbreak from New York to Italy and Spain gradually lift restrictions that have kept millions indoors for months.

South Korea, which eased social distancing rules on May 6, reported 15 new coronavirus cases on Monday, bringing the national tally to 11,065.

China's commerce ministry said on Sunday it is firmly opposed to the latest rules by the United States against Huawei and will take all necessary measures to safeguard Chinese firms' rights and interests.

Shares of SK Hynix, world's No 2 memory chip maker after Samsung Electronics and a supplier to Huawei, closed 1 per cent lower after the United States on Friday moved to curb shipments of semiconductors to Huawei from global chipmakers. Samsung Electronics, however, closed up 2 per cent.

Stock prices are expected to keep balance in a narrow range this week as worries of coronavirus second waves are offset by expectations of the Chinese government's stimulus plans to come, said Kim Yong-goo, an analyst at Hana Financial Investment.

Foreigners were net sellers of US$75.67 million worth of shares on the main board.

REUTERS