South Korean stocks inched up 0.32 percent Tuesday, as concerns over the negative impact of the Japanese yen's fast descent on local exporters eased, analysts said. The local currency fell against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) rose 6.25 points to finish at 1,986.22. Trading volume was light at 297.4 million shares worth 3.17 trillion won (US$2.82 billion) with gainers far outstripping losers 514 to 301.
"It's a tight session as there are no vents this week that might provide the market with new momentum, but only the fact that the yen has been stabilizing as doubts grew over the effectiveness of Japan's monetary easing," said Lim Soo-gyun, an analyst at Samsung Securities Co.
The Japanese currency has settled back to the 101-yen level to the U.S. dollar, slowing its rapid falling pace that once breached the 103 yen mark.
Foreigners were net sellers by dumping nearly 70 billion won, weighing down the main index, but the selloff was offset by an institution-led net purchase worth 114.3 billion won.
Though the KOSPI ended in positive terrain, top listed firms lost ground, largely due to foreign selling. Market bellwether Samsung Electronics fell 0.34 percent to 1,484,000 won, with Hyundai Motor, the second-largest listed company by market cap, slipping 0.24 percent to 206,500 won.
Other large-cap companies finished mixed, with state-run power supplier Korea Electric Power Corp. dipping 3.21 percent to 28,650 won, while top mobile carrier SK Telecom gained 0.92 percent to 219,500 won.
Shares of retail giants were bullish. Lotte Shopping jumped 2.65 percent to 367,500 won and E-mart advanced 2.01 percent to 203,500 won.
The local currency ended at 1,126.90 won against the greenback, down 4.5 won from Monday's close, as foreigners reduced their holdings in local equities, dealers said. (Yonhap News)
