South Korean shares inched up 0.12 percent Friday on hopes of good corporate earnings, though investors took a wait-and-see stance on lingering European concerns, analysts said. The local currency climbed against the U.S. dollar.
The benchmark Korea Composite Stock Price Index gained 2.49 points to 1,995.17. Trading volume was heavy at 672.4 million shares worth 4.4 trillion won ($3.96 billion), with gainers outnumbering losers 462 to 351.
Market analysts said that investors pay more heed to the European issues due to growing uncertainties that the eurozone debt crisis may flare up again.
“As eurozone issues still remain unresolved, European stock markets have been sluggish, compared to the U.S. market,” said Lee Da-seul, an analyst at Korea Investment & Securities Co.
“Companies are expected to report better earnings for the third quarter, but the eurozone issues affected the market more.”
Lee said investors are cautious to see when Spain requests a bailout fund from the European Central Bank and also looking for good news from a finance ministers meeting next week.
Foreigners dumped a net 42.2 billion won worth of local shares, while institutions scooped up 110.4 billion won.
Large-cap shares closed mixed ahead of the third-quarter earnings season.
Samsung Electronics gained 0.22 percent to 1,370,000 won on a record high third-quarter profit estimate, while its smaller rival LG Electronics remained flat at 69,800 won.
LG Display lost 4.45 percent to 26,850 won on a pessimistic earnings outlook due to declining global prices of display panels.
Carmakers are also bearish despite signs of recovery in domestic sales in September. Market leader Hyundai Motor dropped 0.82 percent to 242,500 won and its smaller affiliate Kia Motors retreated 0.42 percent to close at 71,700 won. (Yonhap News)
