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Seoul shares seen firmer after Wall Street rally to 5-year high
February 3, 2013 / 11:31 PM / in 5 years

Seoul shares seen firmer after Wall Street rally to 5-year high

SEOUL, Feb 4 (Reuters) - Seoul shares are likely to regain
ground on Monday after global equities finished last week at
multi-year highs, but gains will be limited as the weakening yen
continues to threaten the prospects of South Korean exports
versus Japanese rivals. 
    "There may be a rebound following the global equity rally
last week but gains will be capped as the KOSPI has decoupled
from other markets," said Lim Dong-rak, an analyst at Hanyang
    "The exchange rate and the mismatch of supply and demand
will continue to dog the local market this week, as they need to
be resolved in the medium-term."
     Major world stock markets climbed to their highest in
nearly two years on Friday with the Dow closing above 14,000 for
the first time since October 2007 after U.S. jobs and
manufacturing data showed the economy's recovery remains on
    The KOSPI has lost 2 percent since the new year,
underperforming Asian peers, as a weakening yen weighs on the
shares of the country's exporters, whose products are now less
competitively priced than those of Japanese rivals.
    The Korea Composite Stock Price Index (KOSPI) finished down
0.2 percent at 1,957.59 points on Friday after factory data from
China showed that a rebound in South Korea's biggest trading
partner was shallower than expected.
------------------MARKET SNAPSHOT @ 22:28 GMT-------------------
S&P 500               1,513.17     1.01%      15.060    
USD/JPY                  92.84     0.13%       0.120    
10-YR US TSY YLD    2.025      --         0.000    
SPOT GOLD            $1,666.99     0.03%       0.450    
US CRUDE                $97.77     0.29%       0.280    
DOW JONES             14009.79     1.08%      149.21    
ASIA ADRS              136.94     0.87%        1.18    
ll St surges to 5-year highs; Dow above 14,000   
>Bonds slip as stock gains hurt bid                 
>Euro broadly stronger,U.S. dollar up on yen        
>Brent crude jumps, premium over US crude widens    
    Doosan Engineering & Construction said on Friday that it was
considering issuing new shares. Market chatter about such a move
amid a sluggish housing market drove the firm's share price down
11 percent on Friday.
    Shares in the builder's top shareholder, Doosan Heavy
Industries and Construction < 034020.KS > also fell 8.1 percent.
    SK Innovation, which owns South Korea's biggest oil refiner,
reported lower-than-expected fourth quarter results on Friday.
Operating profits fell 44 percent in 2012 compared to the
previous year.
    The firm said it will pay out a dividend of 3,200 Korean won
per share, totalling 298 billion won or 1.8 percent of its
market value.

 (Reporting By Somang Yang; Editing by Richard Pullin)

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