Seoul shares end little changed on lack of leads

South Korean stocks finished nearly flat Monday on lack of upward momentum, with foreign investors dumping their shares, analysts said. The South Korea won fell against the U.S. dollar.

The benchmark Korea Composite Stock Price Index fell 0.42 points, or 0.02 percent, to 1,997.02. Trading volume was 201.42 million shares worth 2.82 trillion won ($2.7 billion), with gainers leading losers 409 to 307.

“Advanced markets such as the U.S. fell in recent days, with emerging markets like Brazil rising on an inflow of money. The South Korean market, which is in the middle of the two, has no momentum to stoke rallies,” said Kang Hyun-gie, an analyst at I’M Investment & Securities Co.

Shipbuilders were in the negative territory due to a gloomy forecast for their first-quarter earnings.

Hyundai Heavy Industries fell 1.16 percent to 213,500 won, and Samsung Heavy Industries dropped 0.16 percent to 32,200 won.

Hanwha Chemical fell 3.91 percent to 18,450 won on news that it will sell global bonds to raise $400 million. Analysts said the global bond issuance by Hanwha Chemical could hurt the company’s earnings per share, a key measure of profitability closely watched by investors.

Tech shares were in the positive terrain on foreign buying.

Samsung Electronics rose 0.37 percent to 184,055 won, and its smaller rival LG Electronics gained 0.29 percent to 69,500 won.

Samsung Engineering, a local industrial plant builder, rose 1.84 percent to 77,400 won as it announced the official signing of a 1.7 trillion won deal with Kuwait National Petroleum Co. to build a clean fuel plant.

Kumho Industrial, a leading local builder, advanced 4.84 percent to 13,000 won, as investors’ worries of a massive selling of company shares eased after Asiana Airlines unloaded its 7.93 percent stake in the builder on Friday.

Samsung Group subsidiary Hotel Shilla rallied, rising 4.19 percent to 84,500 won on the back of a rosy outlook for its duty-free business.

The South Korean won ended at 1,039.00 won, down 4.00 won from Friday’s close as exporters unloaded their dollar holdings, dealers said. (Yonhap)