Seoul: Seoul shares ended lower Friday, as investors sat on the sidelines ahead of key U.S. inflation data due this week. The Korean won fell against the U.S. dollar. The benchmark Korea Composite Stock Price Index (KOSPI) inched down 10.31 points, or 0.32 percent, to close at 3,186.01.
According to Yonhap News Agency, trade volume was light at 242.3 million shares worth 8.8 trillion won (US$6.3 billion). Losers outnumbered gainers 579 to 301. Foreigners were net sellers, offloading 366 billion won. Institutional investors, on the other hand, purchased a net 62.5 billion won, and retail investors scooped up a net 229.7 billion won.
The KOSPI opened higher but lost ground as foreign investors sought profits ahead of the United States' July personal consumption expenditure (PCE) price index set to be released Friday, Lee Kyoung-min, an analyst at Daishin Securities, said. The data is considered a key gauge of the Federal Reserve's policy direction.
"Investors took a wait-and-see stance ahead of key U.S. economic data. Foreigners, fueled by risk aversion, sold off stocks, and no clear winners were seen amid a lack of fresh momentum," Lee said. Most large-cap shares ended lower, led by declines in tech and pharmaceutical shares.
Bio firm Celltrion declined 2.78 percent to 167,600 won, major portal operator Naver slid 1.38 percent to 214,500 won, and messenger operator Kakao fell 1.57 percent to 62,500 won. In contrast, ship building shares were in positive territory, with HD Hyundai Heavy Industries jumping 3.38 percent to 520,000 won and Hanwha Ocean adding 2 percent to 112,000 won.
Semiconductor shares also gathered ground. Top-cap Samsung Electronics inched up 0.14 percent to 69,700 won, while its rival SK hynix moved up 0.19 percent to 269,000 won. The local currency closed at 1,390.1 won against the greenback, down 2.5 won from the previous session's close.
Bond prices, which move inversely to yields, closed lower. The yield on three-year Treasurys added 1 basis point to 2.426 percent, and the return on the benchmark five-year government bonds went up 0.7 basis point to 2.583 percent.