Shares gain on foreign buying

By Korea Herald
  • Published : Sept 21, 2012 - 22:00
  • Updated : Sept 21, 2012 - 22:00
South Korean stocks advanced 0.60 percent on Friday as foreigners sought after risky assets, buoyed by the recent stimulus measures from major economies, analysts said. The local currency rose against the U.S. dollar.

The benchmark Korea Composite Stock Price Index closed up 12.04 points to 2,002.37. Trading volume was heavy at 641.9 million shares worth 4.91 trillion won ($4.38 billion) with gainers outpacing losers 461 to 354.

“At least, the expectations on the third quantitative easing from Washington and Europe’s bond purchase pledge began to pay off in the short term, attracting foreigners to come in,” said Kwak Hyun-soo, an analyst at Shinhan Investment Corp.

Offshore investors scooped up a net 168.1 billion won to extend their buying streak to 11 straight sessions. They have snapped up local equities worth a combined net 3.25 trillion won since Sept. .

Kwak said the brisk inflow of foreign capital will likely continue, so long as the envisioned bailout plans in the eurozone countries, including Spain go smoothly.

“No strong upward momentum yet, but (there’s) no critical downward pressure either because the monetary easing by the U.S. nd Japan have capped it,” he added.

Large caps finished in positive terrain, with market behemoth Samsung Electronics gaining 1.17 percent to 1,302.000 won. (Yonhap News)