Seoul shares close up 5.8 pct on bargain hunting

SEOUL, Nov. 21 (Yonhap) -- South Korean stocks closed 5.8 percent higher Friday, breaking an eight-session losing streak, as bargain hunters snapped up beaten-down shipyard and steel issues, analysts said. The local currency gained against the greenback.
The benchmark Korea Composite Stock Price Index (KOSPI) soared 55.04 points to
1,003.73 after dipping as low as 914 in early trading. Volume was heavy at 592.1
million shares worth 5 trillion won (US3.34 billion), with gainers outnumbering
losers 658 to 188.
The Korea Exchange, the nation's bourse operator, suspended program trading early
on for five minutes after the main index futures prices rose more than 5 percent.
It marked the 22nd such emergency break this year.
"Despite the market opening lower on overnight U.S. stock losses, the KOSPI's
consecutive losses for the past eight sessions seem to have created price merit,
especially among shipbuilding and steel shares," said Lim Dong-min, an analyst at
Dongbu Securities.
Shipbuilders gained ground after falling in the past few sessions on fears that
possible industry-wide restructuring may negatively affect their earnings.
Hyundai Heavy Industries soared 14.8 percent to 143,500 won and Samsung Heavy
Industries also climbed 15 percent to 19,950 won.
Tech exporters and financials also managed to recoup earlier losses. Samsung
Electronics gained 4.49 percent to finish at 442,000 won and LG Electronics
soared 11 percent to 77,700 won. Shinhan Financial Group advanced 7.95 percent to
28,500 won.
U.S. stocks took another relentless beating Thursday after hopes faded that
lawmakers would quickly assemble an aid package for ailing U.S. automakers. The
Dow Jones industrial average plunged 5.56 percent and the tech-dominated Nasdaq
composite index plummeted 5.07 percent.
The local currency closed at 1,495 won to the dollar, up 2 won from Thursday's
close, as offshore investors sold the greenback to buy up local stocks, dealers
said.
odissy@yna.co.kr
(END)