Seoul shares end 1.46 pct lower on financial losses

SEOUL, Feb. 5 (Yonhap) -- South Korean stocks closed down 1.46 percent Thursday
as financial shares were battered by a gloomy outlook on a U.S. banking rescue
plan, analysts said. The local currency dropped against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) dropped 17.49 points to
1,177.88. Volume was moderate at 455.87 million shares worth 5.21 trillion won
(US$3.76 billion), with losers outpacing winners 558 to 253.
"The key index slid fast in late trading as bank shares fell deeply, hit by a
dimming outlook on a U.S. banking bailout," said Lee Jae-man, an analyst at Tong
Yang Investment Bank.
KB Financial Group, which owns top lender Kookmin Bank, tumbled 5.03 percent to
34,000 won. Korea Exchange Bank, owned by U.S. Lone Star Funds, shed 5.05 percent
to 6,200, a day after the lender reported a 45 percent drop in fourth-quarter
earnings.
Hynix Semiconductor also dropped 1.79 percent to 9,350 won after the world's
second-biggest chip producer said its last quarter net loss nearly doubled to
1.33 trillion won.
Memory-chip giant Samsung Electronics, however, added 0.58 percent to 521,000
won, lifted by brisk foreign buying.
"Local IT shares gained a competitive edge over global competitors following news
on a global restructuring of the sector," said analyst Rhyu Yong-suk at Hyundai
Securities.
Hyundai Merchant Marine, the nation's No. 2 sea cargo carrier, rose 3.55 percent
to 32,100 won after the global benchmark shipping rate gauge soared 15 percent
Wednesday from the previous day.
The local currency ended at 1,384.5 won to the dollar, down 6 won from
Wednesday's close, as slumping stocks caused foreign investors to buy the
greenback, dealers said.
pbr@yna.co.kr
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