Seoul shares close up 0.6 pct on liquidity hopes

SEOUL, March 25 (Yonhap) -- South Korean stocks gained 0.6 percent Wednesday on
expectations of increased market liquidity, analysts said. The local currency
rose sharply against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) climbed 7.32 points to
1,229.02, rising for a fourth session. Volume was moderate at 488.53 million
shares worth 5.02 trillion won (US$3.68 billion), with gainers outpacing losers
494 to 320.
"Investor sentiment was buoyed by hopes for an increase in liquidity after the
U.S. released upbeat home sales data and details on its banking rescue plans,"
said Kim Young-joon, an analyst at SK Securities.
"A stronger local currency also helped quell jitters about a credit crunch,
raising hopes for a market recovery," Kim said.
Foreign investors extended their net purchases to a seventh session, leading the
key index gain.
Consumer-electronics maker LG Electronics and liquid-panel giant LG Display rose
2.06 percent to 94,000 won and 2.36 percent to 28,200 won, respectively, on
increasing demand expectations in U.S. and Chinese markets.
Samsung Electronics snapped its seven-session advance as investors locked in
profits from the bullish run. The electronics company declined 0.54 percent to
end at 556,000 won.
Shipbuilders also finished stronger, with Samsung Heavy Industries jumping 2.99
percent to 27,550 won.
The local currency closed at 1,363 won against the U.S. dollar, up 20.5 won from
Tuesday's close and the highest level in over two months, as foreign investors'
purchase of local shares increased demand for the won, dealers said.
pbr@yna.co.kr
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