South Korean stocks closed almost flat Monday as investors sat on the sidelines amid weak growth momentum on the main bourse, analysts said. The local currency traded lower against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) inched up 0.61 point, or 0.03 percent to finish at 2,053.01. Trading volume was light at 277.6 million shares worth 4.09 trillion won ($3.85 billion), with gainers outpacing losers 421 to 381.
"Although the Seoul bourse traded higher in the third quarter on the back of improved economic data, the growth started to slow in October due mainly to lack of market momentum," said Kang Hyun-gie, a researcher at I'M Investment & Securities Co.
Analysts, however, added that Seoul shares still edged up as investors' sentiment was heightened by abated concerns over the United States' prolonged political impasses.
"The local stock market is anticipated to gradually post a bullish trend as foreigners are setting their eyes on Seoul shares amid the eased concerns from the U.S. following the deal to raise its debt ceiling," said Lee Sang-jae, a researcher at Hyundai Securities Co.
Overseas investors became net buyers on the main bourse for the 37th consecutive trading session at a net 190.7 billion won, breaking its earlier record of 36 days set on Friday.
Individuals bought more shares than they sold at a net 12.5 billion won, while institutions offloaded a net 196.5 billion won.
Mobile carriers closed higher, with No. 1 SK Telecom rising 1.28 percent to 237,000 won and KT adding 0.41 percent to 36,450 won. LG Uplus, the smallest player, gained 6.55 percent to 12,200 won.
Di Corporation, a local machinery firm which is headed by the father of rapper Psy -- who became a YouTube sensation with his song "Gangnam Style" -- shot up by its daily permissible limit at 14.86 percent to reach 11,350 won on media reports that the signer may release a new title next month.
Samsung Engineering, the country's leading industrial plant builder, fell 7.49 percent to 74,100 won after the firm said Thursday its operating loss reached more than 1 trillion won in the first nine months of this year.
Leading polysilicon manufacturer OCI decreased 0.48 percent to 206,000 won on the gloomy outlook over its earnings following reports that some of its contracts with several clients were scrapped.
Cash-strapped Tongyang fell by its daily permissible limit at 14.88 percent to 589 won on the second day of its return to the main bourse after the trading of its shares was suspended on Sept. 30.
Carmakers traded mixed, with No. 1 player Hyundai Motor adding 1.75 percent to 261,000 won and its auto-parts affiliate Hyundai Mobis losing 1.03 percent to 287,000 won. Kia Motors advanced 1.11 percent to 63,700 won.
The local currency ended at 1,062.20 won against the greenback, down 1.40 won from Friday's close amid rising woes that financial authorities may intervene into the foreign exchange market, dealers said. (Yonhap News)
