Seoul Markets Take a Breather

Seoul stocks ended a three-day climb Friday on profit taking, breaking with Wall Street, which posted a second straight day of gains overnight in wake of a surprise rate cut by the Federal Reserve Board.

The Korea Composite Stock Price Index, or Kospi, was down 7.02 points, or 1.25 percent, to close at 556.29. Trade volume slipped to 476 million shares, as cautious investors sold before the weekend. The turnover was 2.3 trillion won ($1.8 billion).

Foreign investors continued to buy but cut their purchases sharply to 22.9 billion won. Institutional investors poured 119.1 billion won into the market, the largest amount this year. Retail investors unloaded their holdings, posting153.2 billion won of net sales.

Declining issues out paced advancers 543 to 259. Twenty one issues jumped by the daily limit of 15 percent and six slid by the 15-percent downward limit.

Core blue chips were mixed. Samsung Electronics, which had led the main market's recent rally, dropped 4.5 percent to 224,500 won. Korea Telecom shed 1.5 percent, ending at 58,500 won. Korea Electric Power Corp. fell 0.4 percent to 22,800 won.

Hynix Semiconductor, formerly known as Hyundai Electronics Industries, climbed 2.5 percent to 3,285 won on the rumor that negotiations to secure foreign investment were in the final stages. Hynix was the most active issue Friday, with 133 million shares traded. Pohang Iron & Steel added 1 percent, finishing at 88,700 won.

Profit taking also pulled the Kosdaq market lower. The composite index closed Friday at 73.50, down 1.40 points, or 1.87 percent. Trade volume was 426 million shares, valued at 2.4 trillion won.

Telecommunication shares were weak. KT Freetel lost 3.8 percent, ending at 42,550 won. KT M.Com lost 4.2 percent to 10,300 won.

Declining issues overwhelmed gainers 432 to 136. A total of 24 shares rose by the 12-percent daily limit, while five fell by that limit.

by Moon So-young