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Asia, Forex

S.Korean shares gain over 1% on recovery hopes as COVID-19 cases surge

* KOSPI rises 1.27%, foreigners net sellers * Korean won strengthens versus U.S. dollar * South Korea benchmark bond yield rises SEOUL, July 6 (Reuters) – Round-up of South Korean financial markets: ** South Korean shares rose more than 1% on Monday, on pace for a third straight session of gains, as optimism about an economic rebound and fresh support measures helped counter concerns over a global surge in coronavirus cases. The Korean won strengthened, while the benchmark bond yield rose. ** The Seoul stock market’s main KOSPI rose 27.30 points, or 1.27%, to 2,179.71 as of 0155 GMT. ** Stocks extended their gains on upbeat data from the U.S. and China last week, including better-than-expected U.S. unemployment data, said DS Investment & Securities’ analyst Na Jeong-hwan. ** The U.S. economy created jobs at a record clip in June, while China’s services sector expanded at the fastest pace in over a decade. ** Rising coronavirus cases in 39 U.S. states cast a shadow over the nation’s Fourth of July celebrations as health experts worried that holiday parties will cause a further spike in infections that could overwhelm hospitals. ** Meanwhile, South Korea’s parliament last Friday approved a supplementary budget of 35.1 trillion won ($29.33 billion) to fight the economic fallout from the coronavirus pandemic. ** Foreigners were net sellers of 284.6 billion won ($237.80 million) worth of shares on the main board. ** The won was quoted 0.12% higher at 1,197.2 per dollar on the onshore settlement platform . ** In offshore trading, the won was quoted up 0.2% at 1,196.4 per dollar, while in non-deliverable forward trading its one-month contract was quoted at 1,195.5. ** In money and debt markets, September futures on three-year treasury bonds fell 0.03 point to 112.03. ** The most liquid 3-year Korean treasury bond yield rose by 1.4 basis points to 0.853%, while the benchmark 10-year yield rose by 2.0 basis points to 1.408%. ($1 = 1,196.8200 won) (Reporting by Jihoon Lee; Editing by Sriraj Kalluvila)


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