U.S. Market's Rally Brings No Lift Here

Seoul stocks ended marginally higher Monday after the U.S. Nasdaq market rallied for a third day last week. But investors stood on the sidelines, waiting for upcoming earnings reports from major U.S. firms.

The Korea Composite Stock Price Index closed at 548.93, up 0.44 points, or 0.1 percent. Trade volume was thin at 228 million shares. The daily turnover marked 962 billion won ($740 million), nearly touching the lowest record in this year, since trade of index heavyweight shares was especially thin.

Retail and institutional investors unloaded their holdings. Foreign investors sold on the spot market but bought on the futures market.

Limiting the day's gains, leading chipmakers fell for a second trade session. Samsung Electronics shed 1.8 percent, ending at 167,000 won. Hynix Semiconductor Inc. tumbled 10.9 percent to 1,685 won.

Other core blue chips were strong. SK Telecom added 2.4 percent, finishing at 189,000 won. Korea Telecom jumped 4.2 percent to 52,500 won. Korea Electric Power Corp. squeezed out a marginal gain of 0.4 percent, to close at 22,700 won. Hyundai Motor Co. rose 2.5 percent to 26,400 won.

Insurance stocks were especially weak, after a heavy rain on Sunday morning caused severe property damage in Seoul and the metropolitan area. Hyundai Marine & Fire Insurance Co. plummeted 9.5 percent to 14,350 won. Samsung Fire & Marine Insurance, Oriental Fire & Marine Insurance and LG Insurance plunged by 5 to 7 percent.

Declining issues led advancers 404 to 365. A total of 21 shares rose 15 percent, to touch the daily ceiling. Seven issues hit the downward limit.

The Kosdaq composite index climbed 0.59 points, or 0.9 percent, to close at 70.17. Trade volume was thin at 293 million shares, with a value of 1.14 trillion won. Losing issues outnumbered gainers 291 to 273. A total of 18 shares rose by the daily limit of 12 percent and six fell by that limit.

Hanaro Telecom Inc. jumped 5.3 percent to 3,360 won, on the news the Internet service provider is negotiating to acquire Dreamline Co.'s broadband Internet service operations.

by Moon So-young