Seoul: Stocks end flat amid hopes of easing Ukraine tension

[SEOUL] South Korean shares ended nearly unchanged on Friday (Feb 18), but posted a second straight weekly loss, as investors cautiously monitored the developments in Ukraine. The Korean won edged higher, while the benchmark bond yield rose.

The Kospi closed 0.43 points, or 0.02 per cent, up at 2,744.52. For the week, the benchmark index fell 0.12 per cent, following a 0.09 per cent slide in the previous week.

Chip giants Samsung Electronics and SK Hynix fell 0.93 per cent and 1.13 per cent, respectively, weighing on the index, while platform firm Naver also dropped 2 per cent.

Raising hopes of a solution to the stand-off over Ukraine, US Secretary of State Antony Blinken has accepted an invitation to meet with Russian Foreign Minister Sergei Lavrov late next week provided Russia does not invade Ukraine, the US State Department said.

That offset worries about a record daily Covid-19 cases at home that topped 100,000 for the first time amid its Omicron outbreak, but South Korean authorities said social distancing measures would be slightly eased to help resolve the difficulties small businesses and the self-employed face.

Foreigners were net sellers of 151.2 billion won (S$169.8 million) worth of shares on the main board.

The won ended trading at 1,195.9 per dollar on the onshore settlement platform, 0.1 per cent higher than its previous close.

The won gained 0.22 per cent on a weekly basis, reversing a 0.13 per cent decline a week ago.

In offshore trading, the won was quoted at 1,195.7 per dollar, up 0.2 per cent from the previous day, while in non-deliverable forward trading its 1-month contract was quoted at 1,196.1.

In money and debt markets, March futures on 3-year treasury bonds fell 0.05 point to 107.69.

The most liquid 3-year Korean treasury bond yield rose by 2.4 basis points to 2.319 per cent. REUTERS