* Suppliers extend losses on report Apple slashing parts
* Auto shares rebound from recent losses
SEOUL Jan 15 Seoul shares fell on Tuesday
morning, with many Apple Inc suppliers extending losses
into a second day after media reports said the iPhone maker had
slashed orders of screens and other components on
Reversing gains made in early morning trade, the Korea
Composite Stock Price Index (KOSPI) ticked 0.4 percent
lower to 1,998.86 points as of 0148 GMT. The index has been
trading around the 2,000 level since marking a nine-month high
on Jan. 2.
"Investors are taking profits on the technology sector,
which rallied for the past couple of months, while snapping up
auto shares which have been lacklustre," said Kim Soo-young, an
analyst at KB Investment & Securities.
Apple has asked Japan Display, Sharp and LG Display
Co Ltd to roughly halve supplies of LCD panels from
an initial plan for about 65 million screens in January-March,
the Nikkei business daily cited people familiar with the
situation as saying. The report was also matched by the Wall
The reports fanned fears that growth for the smartphone
industry as a whole and Samsung Electronics, a chip
and display supplier for Apple as well as a smartphone rival,
lost 1.6 percent.
Extending losses made in the previous session on the Nikkei
report, LG Display, a key panel provider to Apple,
fell 2.4 percent, E-Litecom slumped 3.9 percent and
Silicon Works lost 3.2 percent.
Auto shares, which have been hit by a stronger South Korean
currency and slowing sales growth, rebounded. Hyundai Motor
, South Korea's top automaker, rose 1.7 percent, and
second-ranked Kia Motors climbed 0.4 percent. Their
parts affiliate Hyundai Mobis firmed 2.2 percent.
Telecom shares, seen as defensive stocks because of their
stable dividends, extended gains on earnings expectations. SK
Telecom, South Korea's top mobile carrier, rose 2.5
percent, while third-placed LG Uplus gained 1.2