Shares edge up on eased eurozone woes

Korean stocks closed marginally higher on Tuesday as investors took a pause after recent rallies amid eased concern over the eurozone debt crisis, analysts said.

The local currency inched up against the U.S. dollar.

The benchmark Korea Composite Stock Price Index added 0.92 points, or 0.05 percent, to finish at 1,886.80. Trading volume was moderate at 320.6 million shares worth 3.47 trillion won ($3.07 billion), with gainers outstripping losers 502 to 317.

“Investors took a breather as signals from the eurozone indicate willingness to ease the crisis. There’s certainly more positive anticipation in the air,” said Lim Dong-rak, an analyst at Hanyang Securities Co.

German Chancellor Angela Merkel said on Monday her government decided to support bond purchases being considered by the European Central Bank in an effort to rescue ailing nations in the region including Spain.

In range-bound trading, the KOSPI bobbed in and out of positive territory. Foreign investors and institutions pushed up the index, snapping up a net 50.3 billion won and a net 135.2 billion each.

Retail investors, however, took profits to unload a net 230.1 billion won.

Oil refiners finished bullish, with top player SK Innovation rising 1.22 percent to 165,500 won, buoyed by a global crude price hike. On the New York market, the Western Texas Intermediate rose to a two-week high.

Korea Aerospace Industries, the country’s leading aircraft maker, skyrocketed 6.08 percent to 27,900 won on the back of upbeat quarterly earnings.

In contrast, utilities drifted in negative territory. State-run power supplier Korea Electric Power extended its losing streak for a third consecutive session to slump 2.45 percent to 23,850 won, largely due to the less-than-expected raise in electricity costs.

The local currency ended at 1,128.80 won against the greenback, up 0.2 won from Monday’s close, as foreign investors opted to scoop up local equities amid eased eurozone concern, dealers said. (Yonhap News)