Seoul shares up 1.71% as Samsung shines

South Korean stocks closed 1.71 percent higher Friday, snapping a four-session slump as Samsung Group affiliate shares rallied, analysts said. The local currency slipped against the U.S. dollar.

The benchmark Korea Composite Stock Price Index soared 32.48 points to 1,929.98. Trading volume was moderate at 261.4 million shares worth 4.2 trillion won ($3.8 billion).

“Given that external circumstances have not changed much, it seems that there was a Cheil Industries effect, with other Samsung shares also ending higher,” said Park Sung-hoon, an analyst at Woori Investment & Securities Co.

“It also seems that jitters over Russia’s financial instability have somewhat ebbed.”

Institutions continued to snap up shares. Foreigners remained net sellers for an eighth straight session but sharply slashed their selling bid.

Samsung Electronics, the country’s biggest firm in terms of market cap, jumped 4.9 percent to 1,328,000 won, and Samsung’s IT service wing Samsung SDS gained 2.5 percent to 287,500 won.

Its affiliate Cheil Industries finished its second trading day on a high note, soaring 14.6 percent to 129,500 won. The conglomerate’s de facto holding company went public Thursday, doubling its initial offering price to 113,000 won.

Other large caps shored up the KOSPI, with top mobile carrier SK Telecom adding 3.3 percent to 282,000 won and chip behemoth SK hynix rising 1.68 percent to 48,500 won.

Retailers, however, ended in negative territory as concerns over sluggish spending lingered. Discount retailer E-mart declined

2.51 percent to 214,000 won, and Lotte Shopping shed 1.25 percent to 276,500 won.

The local currency closed at 1,102 won against the U.S. dollar, inching down 0.5 won from Thursday’s close. (Yonhap)