Seoul shares seen muted ahead of holidays, near 10-week low

Thu Feb 7, 2013 6:40pm EST

SEOUL, Feb 8 (Reuters) - Seoul shares are likely to hold a
narrow range on Friday as investors wait on the sidelines ahead
of local holidays, while pessimism about the pace of the global
recovery continues to weigh.
    "The index will not move much today ahead of the lunar new
year," said Lim Dong-rak, an analyst at Hanyang Securities.
    Lim added that, owing to the glum outlook for first-quarter
earnings and the slow recovery, the index was unlikely to
rebound significantly in coming weeks, despite having lost 3.3
percent since the start of the year.
    Following a policy meeting where the European Central Bank
held rates as expected, President Mario Draghi warned that the 
weakness in the euro zone will likely prevail in coming months.
Global markets ended lower. 
    The Korea Composite Stock Price Index (KOSPI) closed
down 0.2 percent at 1,931.77 points, losing ground for a sixth
straight day and sinking to a ten-week low.
    The market will be closed on Monday for the Lunar New Year
and will reopen on Tuesday.
    
------------------MARKET SNAPSHOT @ 22:28 GMT-------------------
 
INSTRUMENT    LAST    PCT CHG   NET CHG    
S&P 500               1,509.39    -0.18%    -2.730    
USD/JPY                  93.63     0.01%     0.010    
10-YR US TSY YLD    1.959      --      -0.005    
SPOT GOLD            $1,670.40    -0.02%    -0.290    
US CRUDE                $95.83    -0.82%    -0.790    
DOW JONES             13944.05    -0.30%    -42.47    
ASIA ADRS              136.30    -0.41%     -0.56    
------------------------------------------------------------>Wal
l Street ends lower on renewed euro zone fears  
>Bonds edge up as euro slips, stocks fall           
>Euro tumbles on ECB Draghi's currency comment      
>Brent oil near five-month high on Iran, WTI falls  

---STOCKS TO WATCH---  
        
    **STX PAN OCEAN **
    Maeil Business newspaper reported on Friday that Korea
Development Bank, which is a major creditor and shareholder of
STX Pan Ocean, sent out a letter to the shipper's business
clients, reassuring them of the bank's support for the shipper.
    The shipper, part of the cash-strapped STX Group, has
previously seen its share price oscillate on speculation about
the sale of its controlling stake. 

    **POSCO ** 
    Steelmaker POSCO said on Thursday that it would pay out a
dividend of 6,000 won per share, bringing the total dividend for
2012 to 8,000.
    Market watchers said that the payout was less than the
amount expected, and may pressure its share price in the
short-term if yield-seeking funds decide to go elsewhere.
    
    **SAMSUNG LIFE INSURANCE **
    Samsung Life Insurance announced results on Thursday for the
period between September and December which missed consensus
forecasts.
    

 (Reporting by Somang Yang; Editing by Richard Pullin)
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.