Korean stocks finished 0.6 percent higher Friday as foreign investors scooped up Seoul shares on economic optimism, analysts said. The local currency rose against the U.S. dollar.

Reversing its earlier fall, the benchmark Korea Composite Stock Price Index added 12.09 points to 2,019.89. Trading volume was heavy at 709 million shares worth 5.64 trillion won ($5.02 billion) with gainers leading losers 490 to 323.

“In the morning, the KOSPI was dragged down by concerns over rising oil prices and worries about a recession in Europe,” said Park Seung-jin, an analyst at Samsung Securities Co. “But foreign investors increased buying on view that a rise in oil prices could be short-lived and the negative impact from the appreciating yen would be small.”

Foreign investors propped up the local bourse, adding a net 161.3 billion won worth of local shares, switching their stance from the previous day.

Shares of brokerages were the brightest spots as heavy trading volumes were expected to boost their bottom line. Woori Investment & Securities spiked 4.4 percent to 14,250 won and Kiwoom Securities surged 5 percent to 67,200 won.

Large-cap tech exporters reversed their earlier losses and finished higher. Samsung Electronics rose 1.72 percent to 1,180,000 won and its smaller rival LG Electronics gained 0.48 percent to 84,500 won.

But automakers went south amid worries that a recent court ruling on a subcontracted worker may drag their profit. Leading carmaker Hyundai Motor fell 1.14 percent to 216,500 won. (Yonhap News)