Seoul: Stocks end higher for sixth day as Omicron fears fade

[SEOUL] South Korean shares closed higher for a sixth straight day on Wednesday (Dec 8), tracking strength in Wall Street's tech sector overnight, as worries about the impact of the Omicron Covid-19 variant eased despite a record jump in domestic cases. The won strengthened, while the benchmark bond yield fell.

The benchmark KOSPI ended up 10.08 points, or 0.34 per cent, to 3,001.80, the highest close since Nov 22. It has risen as much as 1.48 per cent to a 6-week high in early trade.

Chip giant Samsung Electronics ended flat as investors booked profits after it touched a 4-month high earlier in the session.

Other heavyweights such as LG Chem, Naver and Samsung Biologics added 5.63 per cent, 1.02 per cent and 4.22 per cent, respectively.

KOSPI tracked a tech rally on Wall Street overnight after US infectious disease official Anthony Fauci said the Omicron variant has a higher degree of transmissibility, but is seen as less severe, according to preliminary evidence.

Meanwhile, South Korea reported a record 7,175 new virus cases for Tuesday (Dec 7), even after it reimposed limits on private gatherings. There have been 38 confirmed cases of the Omicron variant so far.

On the main board, foreigners were net sellers of 85.1 billion won (S$98.8 million) worth of shares.

The won ended at 1,175.9 per dollar on the onshore settlement platform, 0.31 per cent higher than its previous close.

In offshore trading, the won was quoted at 1,175.9, while in non-deliverable forward trading, its 1-month contract was quoted at 1,175.7.

In money and debt markets, December futures on 3-year treasury bonds rose 0.08 point to 109.01.

The most liquid 3-year Korean treasury bond yield fell by 2.7 basis points to 1.845 per cent, while the benchmark 10-year yield fell by 3.7 basis points to 2.203 per cent.

REUTERS