Kospi losing streak continues as tech, auto stocks fall

Screens in Hana Bank's trading room in central Seoul show the Kospi closing at 2,958.12 points on Wednesday, down 18.00 points, or 0.60 percent from the previous trading day. [NEWS1]

Stocks fell for the fifth consecutive session Wednesday, led by a decline in techs and autos, as foreigners and institutions attempted to lock in profits amid lingering concerns of inflation. The won fell against the dollar.

After choppy trading, the benchmark Kospi fell 18.00 points, or 0.60 percent, to close at 2,958.12, after rising as high as 3,013.95 points.

Trading volume was moderate at about 887.07 million shares worth around 12.87 trillion won ($11.27 billion), with losers outnumbering gainers 592 to 257.

Foreigners sold a net 10.7 billion won for the sixth straight session, while retail investors purchased a net 407.9 billion won. Institutions offloaded a net 405.5 billion won.

While the Kospi got off to a strong start, tracking an overnight rally on Wall Street, the key index lost steam in the face of a slump in techs and autos.

"Foreigners and institutions are continuing their sell-off, weighing on the local market," NH Investment & Securities analyst Noh Dong-kil said.

Samsung Securities analyst Kim Yong-goo noted that market volatility increased ahead of the expiration of options and futures on Thursday.

Most large caps in Seoul closed lower.

Samsung Electronics lost 0.61 percent to 80,900 won, and chipmaker SK hynix skid 2.56 percent to 133,000 won.

Pharmaceutical firm Samsung Biologics edged down 0.29 percent to 685,000 won, while Celltrion fell 0.7 percent to 285,500 won.

The country's largest automaker Hyundai Motor declined 1.73 percent to 227,500 won.

Chemical firm LG Chem jumped 3.48 percent to 891,000 won, while rechargeable battery maker Samsung SDI remained unchanged at 636,000 won.

Giant internet portal operator Naver added 2.90 percent to 372,000 won, while rival Kakao soared 4.31 percent to 460,000 won.

Online game maker NCSoft rose 0.11 percent to 932,000 won, while its rival Netmarble fell 0.42 percent to 118,500 won.

The Kosdaq fell 6.29 points, or 0.7 percent to close at 890.07.

The local currency closed at 1,142.70 won against the dollar, up 2.40 won from the previous session's close.

Bond prices, which move inversely to yields, closed higher. The yield on the three-year bond lost 2.1 basis points to close at 1.183 percent, and the yield on the 10-year bond went down 6.6 basis points to close at 1.52 percent.

BY CHEA SARAH, YONHAP [chea.sarah@joongang.co.kr]