Seoul shares dip as exporters fall; KEPCO jumps

* KOSPI retreats 0.20 pct

* KEPCO up on tariff hike hopes

* Samsung Fire advances on results, outlook

(Updates to mid-morning)

By Jungyoun Park

SEOUL, May 11 (Reuters) - Seoul shares turned slightly lower
on Monday after opening up, as losses by key exporting issues
outweighed gains by some utilities and energy players including
KEPCO (015760.KS).

The Korea Composite Stock Price Index (KOSPI) was
down 0.20 percent at 1,409.37 points as of 0150 GMT.

"Investors are taking a more cautious approach ahead of the
Bank of Korea's interest rate meeting and options expiry due
later this week," said Kim Hyoung-ryoul, a market analyst at NH
Investment & Securities.

"But it comes as a positive signal that foreign investors are
continuing to buy. We are just lacking compelling momentum that
will help the market rise more meaningfully above 1,400 points,"
he said.

News that U.S. employers cut a smaller-than-expected 539,000
jobs in April, the smallest amount since October, helped support
sentiment. [ID:nN07416806]

Korea Electric Power Corp (KEPCO) rose after a report the
government was considering raising electricity tariffs to
mitigate the state-run utility's chronic losses.

Maeil Business Newspaper said on Monday the Knowledge Economy
Ministry was working on detailed plans to raise late-night power
charges, after the company expressed hopes of raising tariffs by
7.5 percent in the first half of the year.

"If a rate hike does happen, it would directly contribute to
KEPCO's earnings," said Lee Jae-won, an analyst at SK Securities.

Shares in KEPCO advanced 4.47 percent.

Shares in Samsung Fire & Marine (000810.KS) also climbed
after the casualty insurer posted solid results and a positive
outlook late on Friday.

Samsung Fire said in a filing to the Korea Exchange that its
fiscal 2008 net profit jumped 25.6 percent from a year ago to
598.7 billion won ($474 million). [ID:nSEL000604]

The company also forecast 3.6 percent growth in its net
profit to 620 billion won in the fiscal year ending next March
from a year ago.

Woori Investment & Securities upped its target price on
Samsung Fire by 3.6 percent to 215,000 won, adding that it
expected the company to meet its fiscal 2009 profit target.

Shares in Samsung Fire were up 2.97 percent to 190,000 won.

But a stronger won KRW= weighed on key technology and auto
exporters.

Samsung Electronics (005930.KS), the world's No.1 memory chip
maker, which accounts for more than 10 percent of the KOSPI's
market cap, fell 1.58 percent, while Hyundai Motor (005380.KS),
the country's top automaker, declined 1.68 percent.

(Editing by Jonathan Hopfner)