Seoul: Stocks end higher on chipmakers boost, foreign buying

[SEOUL] South Korean shares ended higher on Tuesday, driven by chip giants and buying by foreign investors, although gains were capped by concerns about the Delta coronavirus variant and its impact on the global economy. The won gained, while the benchmark bond yield fell.

The Kospi ended up 14.10 points or 0.44 per cent at 3,237.14, following a 0.65 per cent gain on Monday.

Leading the benchmark gains, technology giant Samsung Electronics and peer SK Hynix surged 2.65 per cent and 3.45 per cent, respectively, while the electric and electronics sub-index added 2.05 per cent.

Foreigners turned net buyers for the first time in five sessions, purchasing net 662.6 billion won (S$776.6 million) worth of shares on the main board.

South Korea is struggling to contain a fourth Covid-19 wave as it continues to report four-digit cases daily, while the Delta variant also prompted Chinese authorities to implement strict measures.

The country's consumer inflation accelerated in July, staying at a nine-year peak marked in May, data showed on Tuesday.

The trading volume during the session in the Kospi index was 642.86 million shares. Of the total traded issues of 914, the number of advancing shares was only 270.

The won ended at 1,148.3 per dollar on the onshore settlement platform, 0.23 per cent higher than its previous close at 1,150.9.

In offshore trading, the won was quoted at 1,148.4 per dollar, up 0.2 per cent from the previous day, while in non-deliverable forward trading its one-month contract was quoted at 1,148.7.

In money and debt markets, September futures on three-year treasury bonds rose 0.03 point to 110.20.

The benchmark 10-year yield fell by 2.3 basis points to 1.884 per cent.

REUTERS