South Korean stocks closed almost flat after a choppy session on Wednesday, as no clear sign on the U.S.'s next move regarding their monetary policies added jitters to investor sentiment
The benchmark Korea Composite Stock Price Index (KOSPI) finished up 2.82 points, or 0.16 percent to 1,783.45. Trading volume was light at 292.4 million shares worth 4.04 trillion won ($3.49 billion) with gainers far outpacing decliners 610 to 216.
"Investors are showing their distrust toward policies, especially with the hike in bond yields surfacing as a serious concern. Unless authorities, including central banks, ease such discomfort, the market will have a hard time finding fresh momentum," said Kim Hyung-ryeol, an analyst at Kyobo Securities Co.
Foreigners opted to extend its selling streak to the 14th consecutive session, unloading a net 217.3 billion won. The foreign selloff was offset by retail and institutional buying worth a combined 204.0 billion won.
The main index swerved in and out of positive territory, led by a mixture of gains and losses in large-cap shares. Market behemoth Samsung Electronics dipped 2.78 percent to close at 1,261.000 won, the lowest since Sept. 10, 2012.
Leading auto exporter Hyundai Motor, however, gained 0.97 percent to 208,000, with its affiliates Hyundai Mobis and Kia Motors all following suit by a 0.19 percent gain to 257,500 won and 1.03 percent ascent to 58,800 won, respectively.
Woori Finance Holdings, the country's No. 1 state-run banking group, shot up 5.37 percent to 10,400 won following the government's announcement on its sale plan earlier in the day.
The local currency ended at 1,154.50 won against the greenback, up 5.7 won from Tuesday's close, mainly due to a weakening dollar and the KOSPI's gain, dealers said.
Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasuries dropped 0.05 percentage point to 2.97 percent and the return on the benchmark five-year government bonds fell 0.07 percentage point to 3.25 percent. (Yonhap News)
