Seoul shares inch up on auto gains

SEOUL, April 28 (Yonhap) -- South Korean stocks ended 0.07 percent higher on Thursday as automakers sharply climbed on the back of positive quarterly earnings results, analysts said. The local currency soared against the U.S. dollar.
After shifting to negative territory earlier in the session, the benchmark Korea Composite Stock Price Index (KOSPI) gained 1.65 points to 2,208.35. Trading volume was moderate at 350.9 million shares worth 10.3 trillion won (US$9.7 billion), with losers outnumbering gainers 459 to 338.
"Autos and chemicals drove up the KOSPI," said Lee Jae-man, a market analyst at Tong Yang Securities Inc. "However, gains were limited as investor sentiment remained weak following the stock market's recent surge."
"Bernanke's press conference was a positive factor, but it did little to raise the KOSPI since investors were already feeling stocks were overvalued," he added.
U.S. Federal Reserve Chairman Ben Bernanke said on Wednesday that the Fed doesn't have a specific time frame for beginning to tighten the U.S. monetary policy. Analysts said his remarks helped clear lingering uncertainties on the U.S. monetary policy.
Gains were largely led by Hyundai Motor, South Korea's second-largest company by market cap. The automotive giant spiked 7.28 percent to 250,500 won after announcing that its first-quarter earnings jumped 46.5 percent from a year earlier on brisk sales. Its smaller affiliate Kia Motors ended at 79,700 won, up 2.71 percent from Wednesday's close.
Oil refiners also shored up the KOSPI. Market leader SK Innovation added 3.31 percent to 250,000 won, and smaller player S-Oil surged 5.36 percent to 167,000 won.
The state-run Industrial Bank of Korea finished at 19,950 won, up 3.1 percent, after releasing strong earnings results on Wednesday.
In contrast, techs underperformed the market with market bellwether Samsung Electronics slipping 2.6 percent to 900,000 won. Game developer NCsoft slumped 4.46 percent to 267,500 won on worries that a legislation that limits teenagers' computer game use from midnight to 6 a.m. will dent its profits.
The local currency ended at 1,071.2 won to the greenback to hit a fresh yearly high, up 8.3 won from Wednesday's close, as the U.S. unit weakened on Bernanke's comments, dealers said. South Korea's current account surplus, which hit a three-month high in March, also weighed on the greenback, they added.
mil@yna.co.kr