Shares end flat on lingering eurozone woes

South Korean stocks closed nearly unchanged Wednesday on lingering eurozone concerns that offset positive U.S. corporate earnings reports, analysts said. The local currency fell against the U.S. dollar.

The benchmark Korea Composite Stock Price Index edged down 0.07 percent, or 1.44 points, to close at 1,961.98. Trading volume was heavy at 674 million shares worth 4.95 trillion won ($4.33 billion), with losers outpacing gainers 537 to 312.

“Investor sentiment was hurt by persistent concerns surrounding Europe’s fiscal health,” said Lee Jae-man, an analyst at Tongyang Securities Inc.

He, however, said that while the local bourse is being hurt for the time being, there is a chance that stock prices will go up in the future.

Song Chang-sung at Hanyang Securities Ltd. said the market’s marginal gain took place despite solid earnings reports released by tech giant Apple Inc. that helped buoy U.S. shares overnight.

Others said that the loss of upward momentum in the market reflects the wait-and-see stance of investors ahead of the U.S. Federal Open Market Committee meeting results.

Most sectors lost ground, although many blue-chip companies in electricity and autos managed to pull off gains.

Shares of LG Chem, a leading manufacturer of rechargeable batteries, lost 0.33 percent to 304,000 won.

Hyundai Heavy Industries, the world’s largest shipmaker, dropped 1.15 percent to 301,000 won.

Hyundai Steel fell 1.30 percent to 98,700 won, while POSCO, the country’s No. 1 steelmaker, gained 0.26 percent to 384,500 won.

Market bellwether Samsung Electronics added 1.71 percent to close at 1,305,000 won, with top automaker Hyundai Motor also moving up 0.19 percent to 384,500 won.

Kia Motors, South Korea’s second-largest carmaker, rose 0.76 percent to 79,900 won, with leading auto parts producer Hyundai Mobis adding 0.86 percent to 293,000 won.

The local currency finished at 1,141.3 won to the greenback, down 0.4 won from Tuesday’s close, dealers said. 

(Yonhap News)