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Seoul shares dip on autos, Samsung Elec at record high
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Seoul shares dip on autos, Samsung Elec at record high
Reuters - 1 hour 17 minutes ago
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* KOSPI dips as foreign investors turn net sellers
* Samsung Elec posts record closing high
* Auto plays lose ground, weaker yen worry weighs
SEOUL, Jan 28 - Seoul shares slipped on Friday, weighed down by declines in auto issues including Kia Motors <000270.KS>, but Samsung Electronics <005930.KS> lent support as its shares posted a record closing high despite weaker quarterly earnings.
The Korea Composite Stock Price Index <.KS11> finished down 0.34 percent at 2,107.87 points.
"The market was taking it easy today following recent gains that have lifted the index to its new heights," said Chung Seung-jae, a market analyst at Mirae Asset Securities.
"As the main index approaches 2,200 points, it faces resistance, which is a natural re-rating process," Chung added.
Foreign investors were sellers of a net 171.7 billion won worth of stocks, snapping a three-session buying streak.
Shares in Samsung Electronics, the world's No.1 memory chip maker, rose 1.6 percent and posted a record closing high of 1,010,000 won despite reporting its weakest profit in six quarters.
"The rebound will start as early as in the first quarter this year, catapulted by a robust recovery in the memory chip sector and pricing," said Shin Jin-ho, head of equity at Midas Asset Management.
"Shares will probably extend gains through the first half of this year due to strength in memory chip momentum," Shin added.
Shares of semiconductor makers were also helped after data from DRAMeXchange, a semiconductor industry tracker, showed spot prices of key DRAM chips rose in an 8-10 percent range.
Shares in Hynix Semiconductor <000660.KS>, the world's No.2 memory chip maker, jumped 5.4 percent.
But shares in Kia Motors <000270.KS> fell 3.1 percent after posting quarterly results that missed market forecasts. [ID:nSEL003215]
"I think the market's expectation is too high. They got so used to South Korean automakers posting double-digit growth that a single-digit expansion is not good enough any more," said Lee Sok-je, an analyst at Mirae Asset Securities.
Worries about a weaker yen hurting price competitiveness of South Korean firms and Japan receiving warnings from the IMF and rating agencies, also weighed.
Shares in Hyundai Motor <005380.KS>, the country's No.1 automaker, lost 4.1 percent.
Shipping firms retreated after the Baltic Dry Index <.BADI>, which tracks rates to ship dry commodities, slid to its lowest in nearly two years on Thursday as weak sentiment and rising fleet growth continued to bite. [ID:nLDE70Q2B5]
Shares in STX Pan Ocean <028670.KS> lost 1.8 percent and Hyundai Merchant Marine <011200.KS> shed 2.4 percent.
The KOSPI 200 March futures <KSc1> index fell 0.6 points to 278.80 points. The KOSPI 200 spot index <.KS200> lost 0.75 points to 278.45.
The junior Kosdaq index <.KQ11> went down 0.22 percent to 527.46.
Move on day -0.34 percent
12-month high 2,121.06 27 Jan 2011
12-month low 1,532.68 25 MAY 2010
Change on yr +2.77 percent
All-time high 2,121.06 27 JAN 2011
All-time low 93.10 6 JAN 1981
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