Seoul shares end down 1.05 pct on profit-taking

SEOUL, April 27 (Yonhap) -- South Korean stocks finished 1.05 percent lower
Monday, battered by massive profit-taking by institutional investors, analysts
said. The South Korean won inched down against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) fell 14.27 points to
1,339.83. Volume was moderate at 537.02 million shares worth 6.79 trillion won
(US$5.05 billion), with losers outpacing gainers 491 to 369.
"Relentless profit-taking by institutional investors dragged down the market as
they locked in profits from recent sharp gains," said Lee Jae-man, an analyst at
Tong Yang Investment Bank.
Hefty falls by electronics makers led the overall loss. "Investors scurried to
lock in profits from recent IT rallies as they questioned whether improvements in
their first quarter earnings, mostly fueled by cost-cutting efforts, were
sustainable," Lee said.
Market leader Samsung Electronics fell 1.18 percent to 585,000 won and its
smaller rival LG Electronics plunged 3.77 percent to end at 102,000 won.
Bank shares also finished sharply lower on murky earnings predictions after Hana
Financial Group reported a net loss of 325 billion won. The parent company for
Hana Bank lost 6.35 percent to 20,650 won. Woori Finance Holdings, which controls
the third-biggest lender Woori Bank, shed 4.26 percent to 9,000 won.
Top air carrier Korean Air dropped 7.35 percent to 37,800 after the outbreak of
swine flu, which has resulted in more than 80 deaths so far in Mexico and is
expected to cut demand for air travel.
Meanwhile, Yuhan and Green Cross, leading drug-makers, jumped 14.05 percent to
211,500 won and 14.91 percent to 97,900 won, respectively, as the deadly epidemic
is predicted to boost drug demand.
The local currency finished at 1,343.4 won to the dollar, down 0.2 won from
Friday's close, dealers said.
pbr@yna.co.kr
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