Seoul shares edge down in seesaw session

SEOUL, Nov. 4 (Yonhap) -- South Korean stocks edged down in a highly volatile
session late Tuesday morning as investors locked in profits from recent market
rallies, analysts said.
The benchmark Korea Composite Stock Price Index (KOSPI) fell 0.81 points or 0.07
percent to 1,128.27 as of 11:20 a.m.
"The market seemed to be positively responding to the government's recent
measures to stimulate the economy but investors must be feeling burdened from
rallies in recent sessions," said Kim Jung-hyun, an analyst at Goodmorning
Shinhan Securities. "Foreign investors expanded selling, putting a drag on the
market."
On Monday, the Finance Ministry unveiled a sweeping economic stimulus package
worth 14 trillion won (US$10.76 billion), which includes a 10-trillion won budget
increase for next year and diverse deregulation measures for the slumping
construction sector.
The announcement is in addition to a 19 trillion won worth of tax cuts unveiled
earlier. It brought the total fiscal spending and tax reduction to revitalize the
slumping economy to 33 trillion won, around 3.7 percent of the nation's gross
domestic product.
Builders were among the marked beneficiaries from the government action. Daewoo
Engineering & Construction and Kumho Industry jumped by their daily limits, while
tech issues including Samsung Electronics remained in negative territory.
The local currency was trading at 1,280.5 won to the U.S. dollar as of 11:20
a.m., down 18.5 won from Monday's close.
kokobj@yna.co.kr
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