Seoul shares end up 0.3 pct on tech, auto gains

SEOUL, Feb. 25 (Yonhap) -- South Korean stocks closed up 0.3 percent Wednesday as
investors picked up tech and auto shares, bolstered by overnight Wall Street
rallies, analysts said. The won rose against the greenback.
The benchmark Korea Composite Stock Price Index (KOSPI) rose 3.2 points to
1,067.08. The index jumped nearly 3 percent early in the morning but failed to
keep the momentum, caving in to profit-taking sales by foreigners and
institutional investors.
Volume was heavy at 728 million shares worth 4 trillion won (US$2.6 billion),
with losers outpacing gainers 457 to 345.
"The market got off to a strong start thanks to overnight rallies in U.S. stocks
but market sentiment remained volatile, prompting investors to lock in profits,"
said Choi Soon-ho, an analyst at Eugene Investment & Securities.
Foreigners remained a drag on the market, selling more shares than they bought
for the 12th consecutive session. On Wednesday, they dumped a net 48 billion won
worth of local shares.
Major blue-chips ended mixed, with tech and auto shares sending the index higher.
Samsung Electronics jumped 2.25 percent to 478,000 won. Top fixed-line telephony
service provider KT advanced 5.59 percent to 37,800 won on its stock buyback plan
and a looming decision by the anti-trust watchdog on its takeover of mobile
affiliate KTF, which also jumped 6.46 percent.
No. 1 carmaker Hyundai Motor surged 3.26 percent to close at 49,100 won and its
affiliate Kia Motors advanced 1.37 percent to 7,400 won.
Machinery and construction shares ended lower. Top power plant maker Doosan Heavy
Industries plunged 3.53 percent to 62,900 won, while leading builder Daewoo
Engineering & Construction lost 5.98 percent to 8,640 won.
On Tuesday, U.S. shares surged on financial gains, rebounding from a 12-year low
a day earlier. The Dow Jones industrial average jumped 3.32 percent and the
tech-heavy Nasdaq composite rose 3.9 percent.
The local currency ended at 1,516 won to the dollar, up 0.3 won from Tuesday's
close. Deputy Finance Minister Shin Je-yoon told reporters that the government
will intervene intensively in the currency market when it is necessary to
stabilize the won.
kokobj@yna.co.kr