Seoul: Stocks end higher on tech boost, upbeat exports data

[SEOUL] South Korean shares ended higher on Monday, boosted by tech heavyweights on strong domestic export data and solid corporate earnings from the United States. The won was nearly unchanged, while the benchmark bond yield rose.

The Kospi closed up 20.72 points or 0.65 per cent at 3,223.04, rebounding from a sharp 1.24 per cent decline on Friday.

Tech giants led gains, with Samsung Electronics and SK Hynix jumping 1.02 per cent and 3.11 per cent, respectively, while battery maker LG Chem added 2.61 per cent and automaker Hyundai Motor rose 0.92 per cent.

South Korean exports jumped to a record high in July as overseas demand for chips and biohealth products extended export growth to a ninth consecutive month, data on Sunday showed.

A separate private survey data on Monday also showed factory activity grew for a 10th straight month in July.

Also aiding sentiment were surging company profits in the United States and US consumers posting a rise in spending as Covid-19 curbs eased.

A 2.5 per cent bounce in Chinese blue chips, after having shed 5.5 per cent last week, also provided support.

Foreigners were net sellers of 148.3 billion won (S$174.4 million) worth of shares on the main board.

The won ended at 1,150.9 per dollar on the onshore settlement platform, 0.05 per cent lower than its previous close at 1,150.3.

In offshore trading, the won was quoted at 1,151.0 per dollar, unchanged from the previous day, while in non-deliverable forward trading its one-month contract was quoted at 1,151.

In money and debt markets, September futures on three-year treasury bonds fell 0.08 point to 110.17.

The most liquid three-year Korean treasury bond yield rose by 1.8 basis points to 1.435 per cent, while the benchmark 10-year yield rose by 3.1 basis points to 1.907 per cent.

REUTERS