Seoul stocks start lower on profit-taking

Korean shares opened weak Monday as investors opted to cash in part of recent gains.The benchmark Korea Composite Stock Price Index slipped 0.67 points, or 0.03 percent, to 2,016.59 in the first 15 minutes of trading.Most large caps traded mixed with market kingpin Samsung Electronics falling 0.33 percent.Top automaker Hyundai Motor remained flat, and top steelmaker POSCO rose 0.22 percent.Naver, the operator of the country's top Internet portal, shed 0.14 percent.The local currency was trading

July 18, 2016

[Photo News] Fintech partnership

Samsung Electronics, the world’s top smartphone maker, and KEB Hana Bank have formed a partnership to nurture their financial technology interests and develop joint business opportunities in the fast-converging world of IT and finance, the two sides said Sunday. Shown in the left photo is KEB Hana Bank CEO Ham Young-joo and in the right picture is Samsung Electronics president and mobile business chief Koh Dong-jin. (KEB-Hana Bank)

July 17, 2016

Stocks set for modest gains this week: analysts

South Korean stocks are expected to continue their upward trend this week, albeit modestly, in general on a mix of low interest rates and stable data, analysts here said.The benchmark Korea Composite Stock Price Index finished last week at 2,017.26, up 2.76 percent from a week earlier. It marked the index’s gains for five sessions in a row led by foreigners’ buying binge.They purchased a net 1.9 trillion won ($1.67 billion) of local shares, while individuals and institutional traders offloaded a

July 17, 2016

Intraday won-dollar volatility narrows in Q2

The volatility in the won-dollar exchange rate continued to remain high in the second quarter, but the average gap between daily highs and lows narrowed from three months earlier, central bank data showed Sunday.The average gap between the daily high and low of the won-dollar exchange rate came to 7.7 won in the three months ending June 30, compared with the average 8.2 won in the previous quarter, according to the data from the Bank of Korea.The intra-day gap narrowed to an average 6 won in May

July 17, 2016

Koreans' trading of foreign shares dips 16% in H1

(123rf)South Koreans' direct trading of foreign stocks fell considerably in the first half of the year due to a sharp drop in investment in the Chinese market, data showed Sunday.The total transaction volume of foreign shares by South Koreans came to $6.23 billion, or around 7 trillion won, during the January-June period.  It marks a 15.96 percent decline from $7.41 billion recorded a year earlier and 7.74 percent decrease from $6.75 billion in the latter half of 2015.In particular, the trade vo

July 17, 2016

[EQUITIES] Shinhan Investment forecasts Daewoong Pharmaceutical to post earnings decline in Q2

[THE INVESTOR] Shinhan Investment expects Daewoong Pharmaceutical’s second quarter operating profit to fall below market estimates, with the figure reaching 9.2 billion won (US$ ) that reflects a 43.7 percent downturn on-year.Sales are expected to decline 4.2 percent to 194 billion won, mostly due to increased expenses, including those involved with research and development, which are expected to reach 26.3 billion won. The figure reflects a 2 billion won increase, on-year, Shinhan said.  (123rf

July 15, 2016

Credit card firms ordered to pay fines for consumer data leak

A local court on Friday ordered three credit card companies hit by massive data leaks to pay fines for failing to fulfill their duties to protect customer information.In 2014, an employee at a local credit rating agency was found to have stolen card holders' information, including bank account numbers, addresses and credit ratings, from KB Kookmin Card Co., Nonghyup Bank and Lotte Card Co. from June 2012 to December 2013. The Seoul Central District Court ordered KB Kookmin Card and Nonghyup Bank

July 15, 2016

[EQUITIES] NH Investment cuts Hyundai Glovis earnings target for the year

[THE INVESTOR] NH Investment & Securities on July 15 lowered its earnings target on Hyundai Glovis, citing slowing exports of its parent company, Hyundai Motor.NH cut the logistic firm’s sales target for this year and 2017 by 1.5 percent and 3.5 percent, respectively.But for second-quarter earnings, NH said the firm would maintain solid growth, with operating profit rising 12.7 percent to 178.8 billion (US$ 155.93 million) and sales growing 5.3 percent to 3.89 trillion won. By Kim Ji-hyun (jemmi

July 15, 2016

[EQUITIES] Mirae Asset Daewoo cuts EPS on Kakao

[THE INVESTOR] Mirae Asset Daewoo Securities on July 15 cut its earnings per share ratio for this year and 2017 by 17.6 percent and 17.7 percent, respectively. It said this was mainly because Kakao’s latest online-to-offline business such as the Kakao designated driver service has yet to be reflected in stock prices. At the same time, expenses are expected to rise throughout the second and third quarters, further weighing on the messaging service’s profit. The brokerage added that it would have

July 15, 2016

Hollys Coffee put up for sale

[THE INVESTOR] Korea’s IMM Private Equity, the largest shareholder of local coffee franchise Hollys Food and Beverage, operator of the namesake specialty coffee chain, has decided to sell its entire controlling stake. According to industry sources on July 15, investors are showing keen interest in acquiring the popular coffee chain with more than 500 stores nationwide. Daesang Group, Carlyle Investment Management and several Chinese financial investors are cited as potential bidders. Hollys Coff

July 15, 2016

Korea's foreign currency deposits grow in June

Foreign currency deposits held at banks in South Korea grew from a month earlier in June on a rise in U.S. dollar deposits from companies, central bank data showed Friday.Outstanding foreign currency deposits held by local residents came to $59.61 billion as of end-June, up $2.76 billion from the previous month, according to the data from the Bank of Korea.Foreign deposits include deposits held by foreigners who have stayed in the country for more than six months, as well as foreign companies he

July 15, 2016

Finance minister vows to speed up implementation of extra budget

South Korea's finance minister on Friday said he will speed up efforts to roll out an extra budget in a "timely" manner, adding the detailed plan will be handed to the National Assembly this month."The timing is crucial when it comes to an extra budget,"Finance Minister Yoo Il-ho said during a meeting with the ruling Saenuri Party. "The bill will be handed in to the parliament as soon as possible."Yoo added the extra budget will be aimed at generating jobs amid the industrywide restructuring eff

July 15, 2016

CLIO eyes KOSDAQ listing

[THE INVESTOR] Korean cosmetics company CLIO, which recently caught the attention of luxury goods giant LVMH, is gearing up for an initial public offering on Seoul’s secondary bourse KOSDAQ, according to industry sources on July 15. The sources additionally revealed that the cosmetics company is currently preparing to submit the required documents necessary for listing by end of July. NH Investment & Securities will partake in the process as underwriter. Actress Kong Hyo-jin in an advertisement

July 15, 2016

LINE gets off to good start in New York, Tokyo

[THE INVESTOR] After its debut on the Tokyo Stock Exchange on July 15, LINE Corp.’s shares soared around 52 percent to 5,000 yen (US$47.40) from its offer price of 3,300 yen, as of 10:39 a.m. Trading of the company’s share in Tokyo was delayed early in the morning as buyers outnumbered sellers by about four to one. Line CFO Hwang In-joon (left), New York Stock Exchange President Tom Farley (second from left), Line Chief Global Officer Shin Jung-ho (third left), and Line chief strategy officer Ju

July 15, 2016

[EQUITIES] Dongbu Securities sees Samsung SDS’ Q2 earnings beating market estimates

[THE INVESTOR] Dongbu Securities on July 15 forecast Samsung SDS’ second quarter earnings will beat market estimates.The brokerage said operating profit would rise 7.3 percent to 175.7 billion won (US$153.22 million), which is above the market consensus of 160.6 billion won. Sales are also expected to rise to the 2-trillion-won level, it said in a report.But Dongbu also noted that sentiment is subdued due to the ongoing issue over Samsung SDS’s plans for splitting off its logistics business.By K

July 15, 2016

LINE stock jumps 52% from offer price in Tokyo

[THE INVESTOR] After its debut on the Tokyo Stock Exchange on July 15, LINE Corp.’s share soared around 52 percent to 5,000 yen (US$47.40) from its offer price of 3,300 yen, as of 10:39 a.m. The opening price stood at 4,900 yen. A Line character shop in Seoul / The InvestorTrading of the company’s share in Tokyo was a bit delayed early in the morning as buyers outnumbered sellers around four times.Line is the mobile messenger service operator owned by Korean Internet portal giant Naver (chairman

July 15, 2016

[EQUITIES] NH Investment expects E-mart’s Q2 earnings to fall below estimates

[THE INVESTOR] NH Investment & Securities forecast local retailer E-mart will post earnings below market estimates in the second quarter.On a consolidated basis, the Shinsegae Group affiliate’s sales were expected to rise 8 percent to 3.92 trillion won (US$3.41 billion), with operating profit rising 0.4 percent to 66 billion won. However, the figures fall below the market consensus of 70.9 billion won operating profit. E-mart’s offline store growth fell 0.5 percent in the second quarter. One of

July 15, 2016

[Graphic News] Mortgage lending increasing steadily

Home-backed loans extended by banks continued to show a steady increase in step with a rise in home transactions, the central bank said Wednesday.The number of home transactions involving Seoul in June spiked 20 percent on-month to 12,000, the Bank of Korea said.Home-backed loans came to 500.9 trillion won ($439 billion) as of end-June, up 4.8 trillion won from the previous month, while credit borrowing by households gained 1.7 trillion won to 165.8 trillion won.The rise in household lending fol

July 14, 2016

Shares keep upward trend on foreign buying

South Korean shares extended a winning streak into a fourth day on Thursday, paring early losses, as foreigners stuck to a buying mode. The South Korean won rose sharply against the U.S. dollar after the nation‘s central bank froze the key interest rate at the record low of 1.25 percent.The benchmark Korea Composite Stock Price Index added 3.22 points, or 0.16 percent, to 2,008.77.Trade volume recorded 334.3 million shares worth 4.2 trillion won ($3.7 billion), with decliners outnumbering advanc

July 14, 2016