Seoul shares rise but blue chips losing glow

(Updates to mid-morning)

SEOUL, Aug 10 (Reuters) - Seoul shares were higher by mid-morning on Monday on continued foreign buying and optimism over the global economy after encouraging U.S. jobs data, but the market's focus was moving away from blue chips.

With the KOSPI having risen 14 percent since mid-July, blue chips that have powered the rally are under pressure from those booking profits while underperformers have come into the spotlight, analysts said.

The Korea Composite Stock Price Index (KOSPI) was up 0.46 percent at 1,583.28 points as of 0140 GMT.

Foreign investors were headed for their 19th consecutive buying session, purchasing a net 127 billion won ($103.7 million) worth of stocks on the main board.

"The rally is more or less over," said Kim Joong-hyun, an analyst at Goodmorning Shinhan Securities. "Foreign investors are still buying but they've turned to net selling for some of heavyweight blue chips, taking profits."

Financial stocks were leading the market, with KB Financial Group (105560.KS) up 2.12 percent and Hana Financial Group (086790.KS) rising 3.64 percent.

Airlines were bolstered by the recent gains in the won KRW=, with Korean Air (003490.KS) advancing 2.78 percent and Asiana (020560.KS) climbing 5.33 percent.

LG Chem (051910.KS) advanced 3.56 percent on expectations that its presence in the U.S. market would grow, as its U.S. unit Compact Power's battery cell project would receive $151 million in support from the U.S. government, analysts said.

LG Electronics (066570.KS) rose 2.36 percent and KT Corp (030200.KS) added 1.64 percent.

But Samsung Electronics (005930.KS) fell 0.98 percent and LG Display (034220.KS) slid 1.46 percent. Hyundai Motor (005380.KS) was up 0.77 percent, after gaining more than 2 percent earlier in the session.

NCSoft (036570.KS) extended losses to fall 4.36 percent as brokerages downgraded target prices for the online game firm on weaker-than-expected business momentum in China. ($1=1224.0 Won) (Reporting by Rhee So-eui; Editing by Jonathan Hopfner)