Seoul: Stocks edge up to end at record high, Fed meeting in focus

[SEOUL] South Korean shares closed at a record high on Monday, although the session witnessed a range-bound trade as investors refrained from placing heavy bets ahead of US Federal Reserve's policy meeting this week.

Both the Korean won and the benchmark bond yield fell.

The Kospi ended up 2.81 points or 0.09 per cent at 3,252.13.

Repeated comments by US policy makers that inflation would be transitory calmed investors' jitters, but markets also now anticipate the Fed may be close to giving clues on the timing for slimming its asset-purchase programme.

Among heavyweights, technology giant Samsung Electronics fell 0.62 per cent and peer SK Hynix slid 0.78 per cent.

LG Chem dipped 2.71 per cent, while Naver rose 3.89 per cent.

Foreigners were net sellers of 24.8 billion won (S$29.4 million) worth of shares on the main board.

Investors were seen taking a wait-and-see stance ahead of the Federal Open Market Committee and economic indicators from the United States and China, said Seo Sang-young, an analyst at Mirae Asset Securities.

The won ended at 1,116.7 per dollar on the onshore settlement platform, down 0.53 per cent.

In offshore trading, the won was quoted at 1,116.5 per dollar, unchanged from the previous day, while in non-deliverable forward trading, its one-month contract was quoted at 1,116.2.

In money and debt markets, June futures on three-year treasury bonds fell 0.03 point to 110.87.

The most liquid three-year Korean treasury bond yield fell by 0.8 basis point to 1.268 per cent.

REUTERS