Seoul shares seen lower on Dubai worries

SEOUL, Nov 27 (Reuters) - Seoul shares may open lower on
Friday amid deepening concerns about Dubai's debt problems, which
hit European markets overnight and are set to continue pressuring
construction issues on worries about cancelled or delayed orders.

"Worsening fears about Dubai's financial health, which may
have wider implications for the Middle East region, will dent
sentiment," said Han Beom-ho, a market analyst at Shinhan
Investment Corporation.

Construction issues which led falls in the previous session,
such as Samsung C&T (000830.KS), will be followed.

Dubai struggled to ease fears of debt default on Thursday
after its move to delay repayments at two flagship firms shook
confidence in the Middle East as a center for investment and
source of capital. [ID:nGEE5AP167]

Steel issues such as POSCO (005490.KS) may be watched after
news South Korea launched a dispute at the World Trade
Organisation against the United States over U.S. measures to
raise prices on steel imports.[ID:nGEE5AP1NP]

The Korea Composite Stock Price Index (KOSPI) ended
down 0.77 percent at 1,599.52 points on Thursday.
----------------------MARKET SNAPSHOT @ 2258 GMT ------------

INSTRUMENT LAST PCT CHG NET CHG
S&P 500 .SPX 1110.63 0.45% 4.980
USD/JPY JPY= 86.41 -0.16% -0.140
10-YR US TSY YLD US10YT=RR 3.2676 -- 0.000
SPOT GOLD XAU= 1190.9 -0.14% -1.700
US CRUDE CLc1 76.23 -2.22% -1.730
DOW JONES .DJI 10464.40 0.29% 30.69
ASIA ADRS .BKAS 125.28 2.02% 2.48
-------------------------------------------------------------
MARKET SUMMARY
*Oil dips toward $77 on slow demand, financial mkts [nSIN117910]
*Dollar off 14-yr low vs yen; SNB seen intervening [nGEE5AP1TI]
*Dubai debt difficulties hammer stocks [nGEE5AP0MS]
*Risk aversion lifts gilt futures to six-week high [nGEE5AP1D7]

STOCKS TO WATCH

HYUNDAI MOTOR (005380.KS), KIA MOTORS CORP (000270.KS)

Hyundai Motor and affiliate Kia Motors have set their
combined 2010 sales target at 5.39 million vehicles, up 16
percent from estimated sales this year, Maeil Business Newspaper
reported late on Thursday.[ID:nSEO295349]

BANKS

Merrill Lynch said in a note dated November 26 South Korean
banks that saw rapid small and medium-sized enterprise loan
growth, including Korea Exchange Bank (004940.KS), Woori Finance
Holdings (053000.KS), and Industrial Bank of Korea (024110.KS),
could face bigger credit risks in the event of rising interest
rates.

(Reporting by Jungyoun Park; Editing by Jonathan Hopfner)

((jungyoun.park@reuters.com; +82 2 3704 5643; Reuters
Messaging; jungyoun.park.reuters.com@reuters.net))

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($1=1153.9 Won)