Seoul shares gain 0.82 percent on Greece optimism

South Korean stocks climbed 0.82 percent Thursday as optimism for a Greece bailout deal grew after eurozone finance ministers agreed to reschedule a meeting early next week, analysts said. The local currency lost against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) rose 15.46 points to close at 1,899.50. Trading volume was moderate at 408.2 million shares worth 3.69 trillion won ($3.41 billion) with gainers outnumbering losers 438 to 362.

"Expectations that the eurozone is getting closer to a final agreement over the debt-reducing plan for Greece boosted investor confidence," said Han Chi-hwan, an analyst at KDB Daewoo Securities Co.

In addition, a ceasefire declared between Israel and Palestine in the Middle East lifted the market, Han added, along with hopeful expectations for a sales boost in the United States during the Thanksgiving Day holiday.

Institutions pushed up the KOSPI with net buying of 257.3 billion won. Foreigners and retail investors turned to net sellers.

Most shares finished bullish, led by tech blue chips and construction firms. Samsung Electronics shot up 2.38 percent to 1,417,000 won and top builder Hyundai Engineering & Construction rose 1.94 percent to 63,200 won.

Local chemical maker S-Oil and zinc smelter Korea Zinc moved up 1.25 percent to 97,100 won and 1.52 percent to 435,500 won each, buoyed by bright industry forecasts next year.

In contrast, autos and shipbuilders lost ground, with industry leader Hyundai Motor sliding 1.18 percent to 210,000 won and Hyundai Heavy Industries falling 0.75 percent to 198,000 won.

The local currency ended at 1,085.90 won against the greenback, down 2.7 won from Wednesday's close, on expectations the government may step in to stem the local currency's ascent, dealers said.

Bond prices, which move inversely to yields, closed lower. The yield on three-year Treasuries rose 0.02 percentage point to 2.82 percent and the return on the benchmark five-year government bonds gained 0.02 percentage point to 2.89 percent. (Yonhap News)