Seoul shares turn higher in late morning trades

Seoul shares turn higher in late morning trades

Korean shares turned higher late Tuesday morning as investors took relief from stimulus steps by central banks worldwide to contain the fallout from Britain’s vote to leave the European Union.

The benchmark Korea Composite Stock Price Index rose 1.55 points, or 0.08 percent, to 1,928.40 as of 11:20 a.m., after dropping to an intraday low of 1,907.49.

Investor sentiment is also boosted by the Korean government’s plan to draw up trillion won supplementary budget, to help cushion the impact from the Brexit turmoil and support the country’s economic growth this year, analysts said.

Last week, Britons voted to leave the 28-nation economic bloc, dealing a heavy blow to global stock markets. More than $2.5 trillion was wiped from global equity values on Friday alone as investors reduced their risky assets and increased investments in safe havens such as the dollar.

Most large-cap stocks trimmed earlier losses or turned higher. Market bellwether Samsung Electronics Co. edged down 0.43 percent, top carmaker Hyundai Motor Co. fell 1.06 percent, and No. 2 chipmaker SK hynix Inc. was down 2.65 percent.

State-run utility Korea Electric Power Corp. rose 1.89 percent, leading cosmetics maker AmorePacific Corp. climbed 1.33 percent, and top refiner SK Innovation Co. gained 1.08 percent.

The local currency was changing hands at 1,176.30 won against the U.S. dollar, up 6.00 won from the previous session’s close.


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