Progress toward ending the U.S. government's record-long shutdown boosted investor sentiment, lifting Seoul shares for a second straight day on Tuesday. The KOSPI closed up 0.81 percent at 4,106.39, though the Korean won weakened sharply against the dollar. Technology and energy stocks led the gains.
On November 11, the Korea Composite Stock Price Index (KOSPI) closed at 4,106.39, up 33.15 points or 0.81 percent, as investor appetite for riskier assets revived amid progress on ending the U.S. government's 41-day shutdown. The index touched a high of 4,187.46 during the session but trimmed gains due to some profit-taking. Trading volume was moderate at 375.15 million shares worth 19.93 trillion won ($13.6 billion), with decliners outnumbering gainers 540 to 339.
Institutions net bought 223.93 billion won worth of shares, and foreigners added 77.98 billion won, while individuals sold a net 282.9 billion won. This followed overnight Wall Street gains, with the Dow Jones Industrial Average up 0.81 percent and the Nasdaq Composite rising 2.27 percent. The U.S. Senate passed a temporary funding measure to end the shutdown, with final approval expected Wednesday U.S. time.
"The KOSPI gained ground as investor appetite for riskier assets revived, despite some profit-taking in recently rallied stocks," said Han Ji-young, an analyst at Kiwoom Securities Co. Technology and energy shares led the advance. Samsung Electronics jumped 2.88 percent to 103,500 won, SK hynix climbed 2.15 percent to 619,000 won, LG Energy Solution gained 1.61 percent to 473,000 won, and state-run Korea Electric Power Corp. surged 7.14 percent to 49,550 won. Decliners included Hyundai Motor, down 0.55 percent to 269,000 won, Korean Air off 0.91 percent to 21,800 won, HD Hyundai Heavy Industries slipping 0.74 percent to 534,000 won, and Hyundai Steel declining 0.78 percent to 31,650 won.
The Korean won fell sharply to 1,463.30 per dollar at 3:30 p.m., down 11.9 won from the previous session. Bond prices rose, with the three-year Treasury yield falling 3.4 basis points to 2.831 percent and the five-year benchmark shedding 4.4 basis points to 2.991 percent.
