Seoul shares seen lower; SK Telecom, POSCO eyed

SEOUL, Sept 28 (Reuters) - Seoul shares may fall on Monday
after losses on Wall Street, with disappointing U.S. housing and
durable goods data likely to weigh on sentiment, while mobile
phone carriers could be followed on news of tariff cuts.

"Shares are likely to start off in negative territory as
falls in U.S. stocks and weakness in key U.S. economic data that
came out over the weekend do not bode well for markets," said Won
Sang-pil, a market analyst at Tong Yang Securities.

Shares in mobile phone operators will be eyed after South
Korea's telecom regulator said on Sunday the country's three
mobile service providers would lower mobile tariffs and other
charges under a government initiative aimed at supporting
households. [ID:nSP395067]

Shares in SK Telecom (017670.KS) may come under closer
scrutiny after China Unicom Ltd (0762.HK) said on Sunday it would
buy back a 3.8 percent stake held by South Korea's top wireless
carrier for about $1.29 billion. [ID:nN2715845]

POSCO (005490.KS) could also be followed after unit POSCO
Engineering & Construction said it planned to raise up to $912
million in an October initial public offering.[ID:nSEO57562]

The Korea Composite Stock Price Index .KS11 (KOSPI)
finished down 0.14 percent at 1,691.48 points on Friday.
----------------------MARKET SNAPSHOT @ 2255 GMT ------------

INSTRUMENT LAST PCT CHG NET CHG
S&P 500 .SPX 1044.38 -0.61% -6.400
USD/JPY JPY= 89.17 -0.48% -0.430
10-YR US TSY YLD US10YT=RR 3.3202 -- 0.000
SPOT GOLD XAU= 990.95 0.00% 0.000
US CRUDE CLc1 66.38 0.55% 0.360
DOW JONES .DJI 9665.19 -0.44% -42.25
ASIA ADRS .BKAS 121.32 -0.55% -0.67
-------------------------------------------------------------

MARKET SUMMARY
*Recovery angst, RIM results hit Wall Street [nN25525546]
*Oil price gains on Iran, consumer data [nSYD299861]
*Dollar dips to 7-1/2-mth low vs yen, sterling hit [nN25508654]
*2-yr Treasury note yields breach 1 pct on Fed talk [nN25512901]

STOCKS TO WATCH

KEPCO (015760.KS)

State-run Korea Electric Power Corp (KEPCO) said on Sunday it
would spend 2.8 trillion won ($2.34 billion) on developing
environment-friendly technology by 2020.

HYUNDAI HEAVY INDUSTRIES (009540.KS)

The world's biggest shipbuilder said it had submitted a bid
for a majority stake in trading company Hyundai Corp (011760.KS)
on Friday.

LG CHEM (051910.KS)

Citi downgraded its rating on LG Chem to "hold" from "buy"
but raised its target price on the firm to 265,000 won from the
previous 184,000 won.

(Reporting by Jungyoun Park; Editing by Jonathan Hopfner)