Seoul shares seen firmer after Wall Street rally to 5-year high
SEOUL, Feb 4 (Reuters) - Seoul shares are likely to regain ground on Monday after global equities finished last week at multi-year highs, but gains will be limited as the weakening yen continues to threaten the prospects of South Korean exports versus Japanese rivals. "There may be a rebound following the global equity rally last week but gains will be capped as the KOSPI has decoupled from other markets," said Lim Dong-rak, an analyst at Hanyang Securities. "The exchange rate and the mismatch of supply and demand will continue to dog the local market this week, as they need to be resolved in the medium-term." Major world stock markets climbed to their highest in nearly two years on Friday with the Dow closing above 14,000 for the first time since October 2007 after U.S. jobs and manufacturing data showed the economy's recovery remains on track. The KOSPI has lost 2 percent since the new year, underperforming Asian peers, as a weakening yen weighs on the shares of the country's exporters, whose products are now less competitively priced than those of Japanese rivals. The Korea Composite Stock Price Index (KOSPI) finished down 0.2 percent at 1,957.59 points on Friday after factory data from China showed that a rebound in South Korea's biggest trading partner was shallower than expected. ------------------MARKET SNAPSHOT @ 22:28 GMT------------------- INSTRUMENT LAST PCT CHG NET CHG S&P 500 1,513.17 1.01% 15.060 USD/JPY 92.84 0.13% 0.120 10-YR US TSY YLD 2.025 -- 0.000 SPOT GOLD $1,666.99 0.03% 0.450 US CRUDE $97.77 0.29% 0.280 DOW JONES 14009.79 1.08% 149.21 ASIA ADRS 136.94 0.87% 1.18 ------------------------------------------------------------->Wa ll St surges to 5-year highs; Dow above 14,000 >Bonds slip as stock gains hurt bid >Euro broadly stronger,U.S. dollar up on yen >Brent crude jumps, premium over US crude widens ---STOCKS TO WATCH--- **DOOSAN ENGINEERING & CONSTRUCTION ** Doosan Engineering & Construction said on Friday that it was considering issuing new shares. Market chatter about such a move amid a sluggish housing market drove the firm's share price down 11 percent on Friday. Shares in the builder's top shareholder, Doosan Heavy Industries and Construction < 034020.KS > also fell 8.1 percent. **SK INNOVATION ** SK Innovation, which owns South Korea's biggest oil refiner, reported lower-than-expected fourth quarter results on Friday. Operating profits fell 44 percent in 2012 compared to the previous year. The firm said it will pay out a dividend of 3,200 Korean won per share, totalling 298 billion won or 1.8 percent of its market value. (Reporting By Somang Yang; Editing by Richard Pullin)
- White House reverses, says Obama met uncle and lived with him during law school
- With song and sadness, South Africans mourn Mandela |
- U.S. television, Twitter, alive with new version of 'Sound of Music'
- Ford leans on global Mustang to burnish overseas image
- RPT-UPDATE 1-Ford leans on global Mustang to burnish overseas image