Seoul stocks extend gains for 7th day to hit fresh yearly highs

South Korean stocks edged up on Friday, backed by a rebound in oil prices and bullish sentiment in U.S. stock markets, extending their winning streak for the seventh consecutive session and hitting fresh yearly highs. The Korean won fell against the U.S. dollar.

The benchmark Korea Composite Stock Price Index rose 1.67 points, or 0.08 percent, to close at 2,050.47. Trade volume was moderate at 372 million shares worth 4.53 trillion won ($4.1 billion), with gainers outnumbering losers 519 to 284.

After starting slightly higher, the KOSPI stock index swung between gains and losses.

Yoo Seung-min, an analyst at Samsung Securities Co., expected South Korean stocks to extend gains for the time being.

"Investors' risk appetite is likely to continue for the time being in global asset markets," Yoo said.

Foreign investors scooped up a net 58.8 billion won worth of local stocks.

Samsung Electronics fell 0.9 percent to end at 1,545,000 won, and AmorePacific, the No. 1 cosmetics maker, declined 1.89 percent to 389,000 won.

SK hynix, a global chipmaker, fell 1.29 percent to 34,350 won.

Naver, the operator of the country's top Internet portal, rose 0.51 percent to 782,000 won.

Automakers traded in positive terrain, with industry leader Hyundai Motor up 1.12 percent to 136,000 won and its smaller affiliate Kia Motors gaining 1.68 percent to 42,400 won.

The local currency closed at 1,103.30 won against the U.S. dollar, down 3.8 won from the previous session's close. 

Bond prices, which move inversely to yields, closed lower. The yield on three-year Treasurys gained 0.6 basis point to 1.228 percent and the return on the benchmark five-year government bond added 0.5 basis points to 1.253 percent.(Yonhap)