South Korean stocks ended 1.13 percent higher Wednesday as investor sentiment was boosted by overnight gains in the U.S. market, analysts said. The South Korean won gained ground against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) moved up 21.69 points to 1,936.97. Trading volume was moderate at 390.61 million shares worth 4.37 trillion won ($4.16 billion), with gainers beating decliners 560 to 258.
Analysts said the rise likely comes as investors’ hopes of a market rebound were boosted by the gains made in U.S. counterparts.
The Dow Jones Industrial Average went up 1.31 percent to 16,614.81, and the tech-laden Nasdaq Composite Index jumped 2.4 percent to end at 4,419.48 on Tuesday.
However, market watchers said the rise may simply be a result of investors scooping up shares they saw as having hit the bottom, adding that the day’s uptrend may just be a “false signal.”
“At the moment, the general economy is in a slump overall, and with weak fundamentals, share prices are bound to fall again soon,” said Kang Hyun-gie, an analyst from I’M Investment & Securities. (Yonhap)
