Seoul: Stocks end at over three-week high on robust exports data

[SEOUL] South Korean shares rallied for a third straight session on Tuesday, as investors lapped up stellar exports data and factory activity, implying stronger growth for Asia's fourth-largest economy. Both the won and the benchmark bond yield rose.

The benchmark Kospi ended up 17.95 points or 0.56 per cent to 3,221.87, its highest closing since May 10.

Among the heavyweights, technology giant Samsung Electronics rose 0.12 per cent and peer SK Hynix rose 1.18 per cent, while battery maker LG Chem and internet giant Naver added 0.73 per cent and 1.24 per cent, respectively.

South Korean exports logged their sharpest expansion in 32 years in May, marking another robust month of shipments, fuelled by stronger consumer demand globally as many economies start to reopen.

The country's factory activity in May also extended growth into an eighth straight month, a private sector survey showed, boosted by recovery in global demand although the pace of expansion eased slightly.

Investors now await US payrolls data due later this week.

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Foreigners were net sellers of 37.4 billion won (S$44.6 million) worth of shares on the main board.

The won ended at 1,105.9 per dollar on the onshore settlement platform, 0.45 per cent higher than its previous close at 1,110.9.

In offshore trading, the won was quoted at 1,105.4 per dollar, up 0.1 per cent from the previous day, while in non-deliverable forward trading its one-month contract was quoted at 1,104.7.

In money and debt markets, June futures on three-year treasury bonds rose 0.05 point to 110.77.

The most liquid three-year Korean treasury bond yield fell by 1.7 basis points to 1.211 per cent, while the benchmark 10-year yield rose by 0.3 basis point to 2.182 per cent.

REUTERS