SEOUL, Nov. 13 (Reuters) – South Korea’s benchmark stock index surrendered early gains on Monday, as losses in battery makers countered gains in chipmakers. The KOSPI closed down 0.16 points, or 0.01%, at 2,409.50.
Early Momentum Fades
The KOSPI had started the session higher, tracking Wall Street’s gains in the previous session, and rose as much as 1.06% before reversing course. Analysts attributed the volatility to the short-selling ban that was imposed last week.
South Korean Stocks Erase Early Gains as Battery Makers Slide
Chipmakers Buoyed by U.S. Peers
Chipmaker Samsung Electronics rose 0.14% and peer SK Hynix gained 1%, following a 4% jump in the Philadelphia Semiconductor Index on Friday. The market was hindered by battery manufacturers, though, as LG Energy Solution fell 0.24% and its parent company LG Chem fell 0.55%. Peers Samsung SDI and SK Innovation fell 0.12% and 0.38%, respectively.
South Korean Stocks Erase Early Gains as Battery Makers Slide
Foreigners were net sellers of shares worth 47.5 billion won ($35.92 million) on the main board on Monday. The win also weakened against the dollar, falling 0.40% to 1,322.1 per dollar.
Bond Yields Rise
In the money and debt markets, December futures on three-year treasury bonds fell 0.07 points to 103.07. The benchmark 10-year yield increased by 3.8 basis points to 4.009%, while the most liquid three-year Korean Treasury bond yield increased by 1.3 basis points to 3.876%.
Overall Market Outlook
The South Korean stock market outlook remains uncertain, with investors awaiting cues from global markets and the domestic economy. Volatility may also continue to be influenced by the prohibition on short sales.
