Seoul shares edge down on Chinese growth data

South Korean stocks closed a tad lower Monday, as worse-than-expected Chinese growth data weighed down investor sentiment, analysts said. The local currency sharply gained against the U.S. dollar.
   
The benchmark Korea Composite Stock Price Index (KOSPI) added 3.78 points to finish at 1,920.45. Trading volume was moderate at 323.1 million shares worth 4.14 trillion won (US$3.69 billion) with gainers outnumbering losers 457 to 343.
   
"China's lower-than-expected growth weighed down on the KOSPI, but Seoul stayed relatively unscathed, compared with how Tokyo and Shanghai markets lost more than 1 percent," said Park So-yeon, an analyst at Korea Investment & Securities Co.    

The Seoul bourse has been rattled by North Korean threats, but the fact that the United States hinted a warning over the weekend against the fast descent of the Japanese yen, lent support to preventing the KOSPI from a steep fall, Park added.   

China expanded 7.7 percent on-year in the first quarter, according to its government, slowing from a 7.9 percent on-year growth the previous quarter and below the consensus of an 8.0 percent on-year gain in a poll by Dow Jones.   

Logistic companies and metal manufacturers tumbled on a poor earnings forecast. Hyundai Glovis plunged 7 percent to 159,500 won and zinc smelter Korea Zinc plummeted 14.03 percent to 285,000 won.  

Most blue-chip exporters lost ground, except for Samsung Electronics, gaining 0.4 percent to 1,523,000 won and SK hynix rising 1.22 percent to 29,150 won.  
   
In contrast, telecom and foodmakers finished bullish. No. 1 mobile carrier SK Telecom gained 3.2 percent to 177,500 won and confectionery maker Orion rose 1.09 percent to 1,204,000 won.   

The local currency ended at 1,120.50 won against the greenback, jumping 8.45 won from Friday's close, largely due to indications of warnings from the U.S. about the yen's rapid depreciation and eased fear over North Korean threats, dealers said. (Yonhap News)