Ease in fear about the omicron variant of the new coronavirus and chipmaker gains, South Korean stocks closed up for the second straight session on Wednesday.
Eugene Investment & Securities analyst Huh Jae-hwan, commented that investors seem optimistic about the chip performance, although not as much about the other sectors.
While South Korea’s finance ministry amid rising prices of raw materials and farm products and the economic recovery, on Wednesday announced that they will prioritize on stabilizing consumer inflation next year as the country faces price pressure.
Market summary –
• On Wednesday trading, the benchmark Korea Composite Stock Price Index (KOSPI) added 9.45 points, or 0.32 percent, to close at 2,984.48 points.
• Trading volume was moderate at about 453 million shares worth some 8.6 trillion won (US$7.2 billion).
• The gainers outnumbered losers 486 to 357.
• Foreign investors bought a net 304 billion won, retail investors offloaded 502 billion won, while institutions purchased 176 billion won.
• However, later in the day the KOSPI pared part of its advances as retail investors put off local stocks to lock in gains.
• The U.S tech-heavy Nasdaq composite largely on optimism that the symptoms of the omicron strain are not as severe overnight rose2.4 percent and the Dow Jones Industrial Average added 1.6 percent.
• The country’s top market player Samsung Electronics stocks gained 1.66 percent to 79,400 won, and chipmaker SK hynix stocks rose 2.01 percent to 127,000 won.
• Naver, the internet portal operator’s stocks gained 0.93 percent to 378,500 won, and le Hyundai Motor stocks climbed 0.73 percent to 206,500 won.
• Among losers, Samsung Biologics shares downgraded 3.01 percent to 901,000 won, with Celltrion stocks also falling 2.2 percent to 200,500 won.
• The local currency against the U.S. dollar closed at 1,192 won, up 0.9 won from the previous session’s close.
• Bond prices closed lower.
• The yield on three-year Treasurys gained 3.7 basis points to 1.757 percent, and the return on the benchmark five-year government bond rose 4.6 basis points to 1.938 percent.
According to the government, it is planning to boost monitoring of the supply of key farm produce and also freeze public utility bills that have been closely linked to people’s livelihoods, in the first quarter of next year.