March 4, 2020 / 7:50 AM / a month ago

S.Korean stocks end higher on foreign buying after Fed rate-cut

* Foreigners were net buyers for first time since Feb. 21

* KRW strengthens against USD

* S.Korea official T-bond yields quote sharply lower across board, with 1-, 3-, 5-yr yields each at record low

* For the midday report, please click

SEOUL, March 4 (Reuters) - Round-up of South Korean financial markets:

** South Korean shares closed more than 2% higher on Wednesday as a weaker dollar due to the surprise rate cut by the U.S. Federal Reserve pushed foreign investors to buy domestic stocks.

** The won was one of the strongest among Asian currencies, while the benchmark bond yield fell.

** Foreigners purchased a net 150.0 billion won ($126.34 million) worth of shares on the main board, snapping seven consecutive sessions of selling.

** The dollar hovered near five-month lows versus the yen after the Fed’s 50 basis points rate-cut sparked more anxiety about the impact of the coronavirus.

** The jump in KOSPI was mainly driven by foreign buying as investors sought “foreign-exchange profit on weakening dollar after Fed’s out-of-meeting rate cut”, Bookook Securities analyst Lee Won said.

** South Korea announced a stimulus package of 11.7 trillion won to cushion the economic impact of the outbreak in the country that has recorded more than 5,300 cases and a death toll of 32.

** The Bank of Korea said it will take the Fed’s decision into account in conducting its policies going forward and pledged to take market stabilising measures if needed.

** The KOSPI surged 45.18 points, or 2.24%, to 2,059.33. During the session, the benchmark clocked the biggest daily gain since Feb. 6.

** Heavyweights Samsung Electronics and SK Hynix closed up 3.6% and 1.6%, respectively.

** The won was quoted at 1,187.8 per dollar on the onshore settlement platform, 0.62% higher than its previous close at 1,195.2.

** In offshore trading, the won was quoted at 1,187.1 per U.S. dollar, down 0.6% from the previous day, while in non-deliverable forward trading, its one-month contract was quoted at 1,186.0 per dollar.

** MSCI’s broadest index of Asia-Pacific shares outside Japan was up 0.20%, while the Shanghai Composite Index rose 0.4%.

** The trading volume was 591.76 million shares. Of the total traded issues of 905, the number of advancing shares was 732.

** The KOSPI has fallen 6.29% so far this year, while the won has lost 2.6% against the dollar.

** In money and debt markets, March futures on three-year treasury bonds rose 0.28 point to 111.67, while the 3-month Certificate of Deposit rate was quoted at 1.40% in late afternoon trade.

** The most liquid 3-year Korean treasury bond yield fell by 7.1 basis points to 1.035% in late afternoon trade, while the benchmark 10-year yield fell by 6.3 basis points to 1.306%. ($1 = 1,187.2600 won) (Reporting by Joori Roh; editing by Uttaresh.V)

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