Seoul shares open higher following Wall Street gains

South Korean share prices opened higher on Thursday, tracking overnight gains in Wall Street.The benchmark Korea Composite Stock Price Index gained 0.55 percent, or 10.99 points, to 2,016.82 in the first 15 minutes of trading.  Traders monitor Seoul share prices at a local bank. (Yonhap)Hyundai Motor, POSCO and AmorePacific rose, while Samsung Electronics and Daewoo Shipbuilding & Marine Engineering fell. Overnight, the Dow Jones industrial average closed 0.24 percent higher at 18,096.27 points,

April 21, 2016

Seoul stocks end lower on low oil prices, profit taking

Korean shares trimmed earlier gains to close marginally lower Wednesday as institutional investors locked in recent gains. The local currency rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index (KOSPI) shed 0.27 percent, or 5.53 points, to 2,005.83. It retreated after hitting an intraday high of 2,023.77, the highest intraday figure so far this year.Trade volume stood at a moderate 419.04 million shares worth 4.53 trillion won (4 billion), with decliners outnumbering adv

April 20, 2016

Korea Exchange agrees on cross-listing with Eurex

Korea Exchange has signed a cross-listing agreement with Eurex Exchange, the largest European derivatives exchange, on Wednesday to offer daily futures on Europe’s key stock index for trading on the local bourse.  Choi Kyung-soo, chairman and CEO at Korea Exchange (fourth from left), and Jeffrey Tessler, CEO of Clearstream and a member of the Executive Board of Deutsche Boerse (fifth from left), pose together after signing a cross-listing agreement at Korea Exchange in Seoul, Wednesday. / KRXUnd

April 20, 2016

Funds in stock accounts hit record on hopes of higher returns

With no suitable or attractive assets to invest in amid low interest rates, the market is seeing more and more investors parking their money -- mostly savings -- into stock or mutual trust accounts offered by brokerages rather than banks’ savings accounts.Offering higher yields than deposit rates and relatively stable returns over the benchmark interest rates with flexible transactions, brokerages saw their outstanding balance of cash management accounts reach a record 52.6 trillion won ($46.3 b

April 20, 2016

Finance minister says no immediate plan for extra budget

Korea's finance minister said Wednesday that he has no immediate plan to draw up a supplementary budget to stimulate the economy, but hinted at cutting the country's 2016 growth target from 3.1 percent."I'm not considering an extra budget as of now," Finance Minister Yoo Il-ho said in a press conference to mark his 100th day in office. "I will use any fiscal measures to prop up the economy when we have a sudden spell of challenges at home and abroad. But I don't think the country is not in such

April 20, 2016

Seoul stocks open higher on U.S. gains, foreign buying

South Korean stocks opened higher Wednesday, mainly on foreign buying. The benchmark Korea Composite Stock Price Index gained 8.17 points, or 0.41 percent, to 2,019.89 in the first 15 minutes of trading.  Seoul share prices are displayed at the Korea Exchange. (Yonhap)Sentiment was also bolstered by overnight gains on Wall Street, according to analysts. The Dow Jones industrial average closed up 0.27 percent to 18,053.60 points, but the Nasdaq Composite Index ended 0.40 percent lower at 4,940.33

April 20, 2016

Seoul stocks edge up on bargain hunting

Korean shares closed marginally higher Tuesday as institutional investors opted for bargain hunting, with other Asian stocks mostly higher on Wall Street gains. The local currency sharply rose against the U.S. dollar.The benchmark Korea Composite Stock Price Index (KOSPI) gained 0.11 percent, or 2.26 points, to 2,011.36. Trade volume stood at a moderate 397.41 million shares worth 4.39 trillion won ($3.8 billion), with gainers outnumbering losers 511 to 292.Institutions bought a net 139 billion

April 19, 2016

Capital market think tank appoints Ahn Dong-hyun as new president

Ahn Dong-hyun has been named new president of the Korea Capital Market Institute, the economic think tank said Tuesday. Ahn who currently serves an economics professor at Seoul National University, will head the institution for the next three years after taking office on Thursday. He will replace former president Shin In-seok who left his post in March when the Bank of Korea tapped him as a member of monetary policy board. The new president also serves as a member of National Economic Advisory C

April 19, 2016

KEB Hana Bank to raise ATM fees in May

KEB Hana Bank will raise fees on its automated banking machine networks from May, the local lender said Tuesday. The country’s fourth-largest bank by assets said it will increase surcharges for customers who transfer money to other banks’ accounts from 800 won (70 cents) to 1,000 won. The new fees will be applied at ATMs nationwide from May 13. Customers using other banks’ ATMs to withdraw money from KEB Hana Bank accounts will also have to pay the increased fee of 1,000 won. “It’s the first rai

April 19, 2016

[Market Now] Lotte sells Eunpyeong commercial building to KEB Hana fund

Lotte Shopping said Tuesday it will sell its commercial building in Eunpyeong New Town, Seoul, to a real estate trust fund of KEB Hana Bank by the end of this month.Hana’s fund will purchase the property for 430 billion won ($380 million), according to a disclosure filing by Eunpyeong PFV Corp. Lotte Duty Free shop in downtown Seoul (Yonhap)Lotte Shopping’s Lotte Asset Development, a real estate developer of Lotte Group, set up the special purpose company -- Eunpyeong PFV Corp. -- to develop the

April 19, 2016

Cheil Worldwide buys stake in U.K.‘s Founded

Korean advertising group Cheil Worldwide is seeking to tap deeper into the U.K. and U.S. markets with its acquisition of a British marketing agency. Iris, a London-based affiliate of Cheil, said Tuesday it acquired a stake in U.K. agency Founded that works with clients including Uniqlo, Sony, Financial Times, WePay and Zipcar. The companies declined to disclose terms of the deal.The deal highlights Cheil’s willingness to expand its oversea business and diversify the business portfolio from retai

April 19, 2016

[Market Now] K-water receives state funds for four rivers debt repayment

Korea Water Resources Corp. said Tuesday that it has received 119 billion won ($104 million) from the Ministry of Strategy of Finance to repay its debt for the construction and restoration of Korea’s four major rivers.The government agreed last September to provide a total of 340 billion won this year to the state-run K-water for debt repayments.The state-run water resources manager said that the 119 billion won was the first capital support from the Finance Ministry, and the rest of the 340 bil

April 19, 2016

[Market Now] BOK cuts 2016 growth outlook to 2.8%

The Bank of Korea on Tuesday cut its outlook for Korea’s economic growth in 2016 by 0.2 percentage point to 2.8 percent, deviating further from the government’s 3.1 percent forecast and joining private forecasters in lowering growth projections. Inflation will be 1.2 percent this year, also 0.2 percentage point lower than its previous projection of 1.4 percent, BOK Gov. Lee Ju-yeol said in a news conference that followed the bank’s decision to hold the base rate steady at 1.5 percent.  BOK Gov.

April 19, 2016

[Market Now] Bank of Korea freezes key rate at 1.5%

The Bank of Korea on Tuesday left the key interest rate at 1.5 percent, the lowest on record, for the 10th consecutive month. The decision was expected by 86 percent of 200 bond market participants in a survey. The BOK last moved the rate in June last year.  Bank of Korea (Yonhap)Four of the seven members of the bank’s monetary policy board are to be replaced Thursday by figures who, local media say, seem dovish. The central bank now expects the Korean economy to grow 2.8 percent in 2016, not 3

April 19, 2016

Draft guideline urges institutional investors to speak up

Institutional investors holding equity stakes in Korea’s listed companies will be urged to speak out on key corporate decisions under a draft of new corporate governance guidelines unveiled Monday. The draft, presented by the bourse operator Korea Exchange and its think tank Korea Corporate Governance Service at a forum in Seoul, is envisioned to replace existing standards for publicly traded companies to follow in areas of shareholder rights, board composition and management, and various other

April 18, 2016

Shares end lower on institutions' profit taking and failed oil deal

Korean shares ended lower Monday, as institutional investors opted to lock in recent gains and the world's oil-producing countries failed to reach an agreement on output freeze.But foreigners stemmed a sharper loss by staying in a buying position. The local currency fell against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) slipped 5.61 points, or 0.28 percent, to 2,009.10. Trade volume stood at 334.76 million shares worth 4.25 trillion won ($3.7 billion), with losers

April 18, 2016

[Market Now] Hite Jinro sees oversubscribed bonds despite financial woes

Hite Jinro, a listed beer and soju maker, saw oversubscriptions of its bonds issued earlier this month, despite prospects of weaker-than-expected earnings and financial difficulties on high debt.Demand for Hite Jinro’s A-graded bonds exceeded 100 billion won ($87 million) the company had initially sought to raise to finance its operations and repay its debt.Its bonds have been oversubscribed by 25 billion won, with institutional investors such as Dongbu Securities, NH Investment & Securities and

April 18, 2016