S.Korean stocks slump as U.S. stimulus worries outweigh Q4 GDP reading

* KOSPI falls, foreigners net sellers
* Korean won weakens against U.S. dollar
* South Korean benchmark bond yield edges down

SEOUL, Jan 26 (Reuters) - Round-up of South Korean financial
markets:

** South Korean shares tumbled on Tuesday, with heavyweights
leading the declines, as concerns about U.S. stimulus outweighed
optimism from the nation's better-than-expected fourth-quarter
GDP. The won and the benchmark bond yield fell.

** The KOSPI dropped 48.76 points, or 1.52%, to
3,160.23 by 0208 GMT after closing at a record high on Monday.

** Heavyweights such as chip giants Samsung Electronics
and SK Hynix dropped 2.5% and 3.7%,
respectively, while LG Chem and Hyundai Motor
both tumbled more than 2%.

** Worries about the $1.9 trillion U.S. stimulus plan rose
after it faced opposition from Republicans in Congress, making
investors look past data that showed South Korea grew at a
faster-than-expected pace in the fourth quarter.

** "Foreign investors and institutions are seen decreasing
their weights in KOSPI every time the index hits a record high
... The market will continue to fluctuate upon progress in the
U.S. stimulus," said Samsung Securities' analyst Seo Jung-hun.

** Investors now await U.S. fourth-quarter GDP numbers and
the Federal Reserve meeting due this week, along with earnings
reports from major technology companies at home and abroad.

** Foreigners were net sellers of 826.0 billion won ($749.95
million) worth of shares on the main board.

** The won was quoted at 1,101.4 per dollar on the onshore
settlement platform , 0.06% lower than its previous
close at 1,100.7.

** In offshore trading, the won was quoted at
1,101.4, while in non-deliverable forward trading, its one-month
contract was quoted at 1,101.0.

** In money and debt markets, March futures on three-year
treasury bonds rose 0.01 point to 111.45.

** The most liquid 3-year Korean treasury bond yield was
flat at 1.006%, while the benchmark 10-year yield fell by 0.7
basis point to 1.773%.

($1 = 1,101.4000 won)

(Reporting by Joori Roh, additional reporting by Jihoon Lee;
editing by Uttaresh.V)


2021-01-26 04:45:28

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