Stocks rise as some optimism returns at home and abroad
Stocks rebounded Tuesday on easing concerns about the new coronavirus and the volatility in the currency market. The won rose against the dollar.
The benchmark Kospi rose 22.36 points, or 0.74 percent, to close at 3,029.04 points.
Trading volume was moderate at about 833 million shares worth some 10 trillion won ($8.5 billion), with gainers outnumbering losers 449 to 381.
Foreigners bought a net 150 billion won, while retail investors sold 327 billion won. Institutions purchased a net 182 billion won.
Stocks got off to a strong start on overnight gains on Wall Street and easing virus woes.
"The local stock market seems to have shrugged off some of the negative factors at home and overseas, such as inflation and tapering jitters," Mirae Asset Securities analyst Park Gwang-nam said.
“The FX market also seems to be stabilizing, and investor appetite for risky assets has increased in general,” he added.
Korea's new virus cases stayed below 2,000 for the 11th straight day Tuesday amid progress in vaccinations.
The government has been considering lowering the level of distancing rules, currently at its highest, should virus cases stay low.
Most large caps traded higher in Seoul.
Samsung Electronics increased 0.57 percent to 70,600 won, and chipmaker SK hynix gained 0.62 percent to 97,700 won.
Internet portal operator Naver rose 2.77 percent to 407,500 won, and Kakao increased 4.94 percent to 127,500 won.
LG Chem climbed 0.48 percent to 831,000 won, and rechargeable battery maker Samsung SDI added 3.12 percent to 727,000 won.
Pharmaceutical giant Samsung Biologics gained 1.17 percent to 868,000 won, and Celltrion edged up 0.69 percent to 218,000 won.
Automaker Hyundai Motor slid 0.24 percent to 209,000 won.
The Kosdaq rose 11.49 points, or 1.16 percent, to close at 1,005.35.
The local currency closed at 1,178.7 won against the dollar, down 8.9 won from the previous session's close.
Bond prices, which move inversely to yields, closed mixed. The yield on three-year government bonds lost 0.4 basis point to 1.869 percent, and the yield on the benchmark 10-year government bond gained 2.1 basis points to 1.59 percent.
BY LEE TAE-HEE, YONHAP [firstname.lastname@example.org]