*Airlines down on weak results, higher oil
*Exporters fall on economic worries
*Steelmakers, shipbuilders rebound after losses
(Updates to midmorning)
By Park Jung-youn
SEOUL, Aug 14 (Reuters) - Seoul shares traded slightly higher
on Thursday with heavy industry issues rebounding after steep
losses in the previous session, but higher oil weighed on
airlines and renewed credit worries dampened market sentiment.
The Korea Composite Stock Price Index was up 0.18
percent at 1,565.50 points as of 0054 GMT, recovering slightly
after two consecutive losses.
"Renewed worries about credit markets and economies are
taking a toll on investor sentiment, and buying appetite remains
weak," said Joo Sang-chull, a market analyst at Kyobo Securities.
"Also more volatility is expected towards afternoon trading
as options expiry is due today," Joo added.
Shares in Internet mall operator Interpark Corp (035080.KQ)
jumped 12.9 percent to 5,250 won boosted by news that eBay Inc
(EBAY.O) is seeking to buy a stake in its affiliate, Gmarket Inc
GMKT.O.
Korean Air Line (003490.KS) fell 2.31 percent to 44,400 won
after reporting its first quarterly operating loss in 5 years
earlier on Thursday, with overnight gains in U.S. crude CLc1 to
around $116 per barrel adding to downward pressure.
Asiana Airlines (020560.KS) lost 1.64 percent to 4,785 won.
However steelmakers recovered from their latest steep losses
on worries of slowing demand and falls in Chinese markets. POSCO
(005490.KS) was up 3.0 percent to 480,000 won and Hyundai Steel
(004020.KS) was up 2.29 percent to 58,100 won.
Shipbuilders also rebounded, with Hyundai Heavy Industries
(009540.KS) rising 1.67 percent to 274,500 won and Daewoo
Shipbuilding & Marine Engineering (042660.KS) gaining 3.35
percent to 40,100 won. Samsung Heavy Industries (010140.KS)
gained 3.12 percent to 36,400 won.
Shares in Daewoo Shipbuilding were further boosted by a local
media report that notice of the shipbuilder's sale could come as
early as late next week, with naming of the preferred bidder set
for early October.
However exporters such as Samsung Electronics (005930.KS) and
Hyundai Motor (005380.KS) declined on concerns about consumer
sentiment and the credit fallout in the United States, South
Korea's second-largest export market.
Samsung Elec, the world's No.1 memory chip maker, fell 1.02
percent to 581,000 won and LG Electronics (066570.KS), the
world's No.4 handset maker, lost 0.84 percent to 118,500 won.
Hyundai Motor declined 1.78 percent to 71,700 won.
