Seoul: Stocks post best weekly jump in 7; US data, Omicron in focus

[SEOUL] South Korean shares ended higher on Friday (Dec 3), posting their biggest weekly jump in 7, supported by buying by foreign and institutional investors, though gains were capped ahead of US payrolls data and on Omicron coronavirus variant caution.

The won ended lower but posted its sharpest weekly gain since mid-February, while the benchmark bond yield rose.

The KOSPI closed up 23.06 points, or 0.78 per cent, at 2,968.33, extending the gains into a third straight day.

For the week, the benchmark jumped 1.09 per cent, its sharpest gain since mid-October and rebounding from a 1.16 per cent decline a week earlier.

Chip giants Samsung Electronics and SK Hynix slid 0.26 per cent and 1.67 per cent, respectively, but platform companies Naver and Kakao rose 0.88 per cent and 0.82 per cent each.

On the main board, foreigners were net buyers of 156.9 billion won (S$182 million) worth of shares, according to Korea Exchange data.

The Omicron variant has spooked markets for about a week, hitting travel-related stocks hard on new restrictions around the globe.

South Korea reported 4,944 new coronavirus cases on Thursday (Dec 2) and reimposed limits on private gatherings after 6 Omicron variant cases have been confirmed so far.

Focus is now on the US payrolls report due later in the day, as it could clear the path to earlier Federal Reserve interest rate hikes.

The won ended at 1,180.1 per dollar on the onshore settlement platform, 0.36 per cent lower than its previous close.

In offshore trading, the won was quoted at 1,180.4, while in non-deliverable forward trading its 1-month contract was quoted at 1,180.6.

In money and debt markets, December futures on 3-year treasury bonds fell 0.10 points to 108.91.

The benchmark 10-year yield rose by 2.9 basis points to 2.223 per cent.

REUTERS