S.Korea shares edge up on bullish data, but Fed uncertainties drag
(Updates to midday)
* KOSPI rebound from sharp fall on Thurs.
* Tech shares underpin market
* Hyundai Heavy down on weak 3Q earnings
SEOUL, Nov 1 (Reuters) - South Korean shares inched up on Friday after a flurry of indicators suggested the country's economic recovery is picking up, but anxiety over U.S. central bank's stimulus tapering timeline capped gains.
The Korea Composite Stock Price Index (KOSPI) edged up 0.3 percent at 2,035.99 points by 0210 GMT, following Thursday's sharpest single-day fall since Aug. 20.
"Strong economic figures have bolstered risk appetite, but downside pressure from the Fed's tapering uncertainty stands strong," said Lee Kyung-soo, an analyst at Shinyoung Securities.
"Early gains could evaporate by the end of the session."
U.S. private industry data on Thursday showed October business activity in the U.S. Midwest came in well ahead of expectations, raising concerns that the U.S. Federal Reserve could start trimming its stimulus earlier than the widely speculated March.
On Friday, data showed South Korean October manufacturing activity expanded for the first time in five months, while both exports and imports outperformed forecasts by Reuters Poll.
Manufacturing sector for China, the largest export market for South Korea, also grew at a faster pace in October, surveys showed earlier, bolstering risk-appetite.
Foreign investors purchased 40.8 billion won ($38.46 million) of local shares in the morning, underpinning the main board after snapping their record net buying streak will at 44 sessions on Thursday.
Samsung Electronics Co Ltd, the largest component in KOSPI, lifted the main bourse by rising 1.9 percent after smartphone and semiconductor shipments rose sharply in October. It had shed 2.3 percent in the previous session on profit taking.
LG Electronics Inc and SK Hynix Inc rose 1 percent and 3.4 percent, respectively.
Hyundai Heavy Industries Co Ltd, the largest shipbuilder in the world, fell 2.2 percent after posting a soft third-quarter earnings results.
($1 = 1060.7500 Korean won) (Reporting by Jungmin Jang; Editing by Kim Coghill)
- White House reverses, says Obama met uncle and lived with him during law school
- Flights delayed as air pollution hits record in Shanghai
- South Africa mourns Mandela, will bury him on December 15 |
- Analysis: Boeing bidders dangle goodies to win 777X jetliner
- RPT-UPDATE 1-Ford leans on global Mustang to burnish overseas image