August 29, 2013 / 11:59 PM / 4 years ago

Seoul shares may falter as robust US data rekindle Fed worries

SEOUL, Aug 30 (Reuters) - Seoul shares may falter on Friday
after robust U.S. data were widely taken as backing an imminent
reduction in the Federal Reserve's stimulus at a time of
heightened uncertainty over Syria.
    The U.S. government on Thursday revised up the
second-quarter gross domestic product growth, while the
country's weekly jobless claims fell more than anticipated last
week, a possible sign that hiring improved in August.
    The upbeat data on the world's largest economy adds to the
case for the Fed's tapering of its massive economic stimulus
programme to start next month, analysts in Seoul said.
    "Though (the Fed's) tapering concerns have become a familiar
topic, it still affects the market in a negative way," said
Mirae Asset Securities analyst Chung Seung-jae. "The market will
also adjust from yesterday's gains." 
    Chung also said the Syrian situation would remain a drag on
the markets as Wall Street gains were limited by delayed
timeline of U.S.-led military action after the United Nations
Security Council failed to reach an agreement. 
    In Seoul, foreign investors were net buyers of a revised
462.6 billion won ($416.86 million) worth of local shares on
Thursday, the most since June 28 and their fifth consecutive
session of net purchases.
    The Korea Composite Stock Price Index (KOSPI) rose
1.2 percent to 1,907.54 points on Thursday, setting the highest
close since Aug. 19.

------------------MARKET SNAPSHOT @ 22:36 GMT-------------------
                INSTRUMENT      LAST       PCT CHG     NET CHG
S&P 500                1,638.17          0.2%        3.21
USD/JPY                   98.38         0.04%       0.040
10-YR US TSY YLD     2.762          --         0.000
SPOT GOLD             $1,405.50        -0.15%      -2.140
US CRUDE                $107.64        -1.07%      -1.160
DOW JONES              14840.95         0.11%       16.44
ASIA ADRS               137.93         0.11%        0.15
>Wall St rises on economy, but Syria concerns limit gains   
>Prices gain as investors eye month-end, long weekend      
>Dollar hits 3-week high as U.S. data spurs Fed taper talk 
>Oil slides as Syria action timeline pushed back           
    The construction company said on Thursday it has won a 111.7
billion won ($100.66 million) worth of contract to build a
distribution complex in southeast Seoul.  
    Trading has been halted for STX Corp shares since late on
Thursday, after an investor in STX's corporate bonds filed a
complaint with the court to have the company declared bankrupt,
STX said in a regulatory filing late on Thursday.
    STX Corp, the holding company of the
shipbuilding-to-shipping STX Group, had already applied for
corporate restructuring to its creditor banks in May.
 ($1 = 1109.7250 Korean won)

 (Reporting by Jungmin Jang; Editing by Choonsik Yoo and Shri

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below