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Seoul shares seen pressured by strong won, Italy's political woes
December 10, 2012 / 11:48 PM / in 5 years

Seoul shares seen pressured by strong won, Italy's political woes

SEOUL, Dec 11 (Reuters) - Seoul shares are likely to tread
water on Tuesday despite gains on Wall Street, as worries over
the strengthening South Korean currency weigh on exporters. 
    News that Italy's Prime Minister will resign also stoked
concern about who will lead the euro zone's third biggest
economy out of its debt crisis. 
    "Investors remain in a wait-and-see mode following mixed
signals from markets overseas and concerns about the firming
won," said Cho Sung-joon, an analyst at NH Investment &
Securities.
    The South Korean won climbed to a 15-month high
against the dollar on Monday as appetite for emerging market
currencies rose after better than expected U.S. employment
data.  
    A strong won eats away at the repatriated profits of
exporters, the backbone of Asia's fourth-biggest economy.
    The Korea Composite Stock Price Index (KOSPI) closed
flat on Monday at 1,957.42 points, having reached a seven-week
closing high on Friday.
------------------MARKET SNAPSHOT @ 22:28 GMT-------------------
 
                 INSTRUMENT     LAST    PCT CHG     NET CHG    
S&P 500              1,418.55     0.03%       0.480    
USD/JPY                 82.35     0.02%       0.020    
10-YR US TSY YLD   1.618      ---        0.005    
SPOT GOLD           $1,711.39    -0.01%      -0.200    
US CRUDE               $85.56     0.00%       0.000    
DOW JONES            13169.88     0.11%       14.75    
ASIA ADRS             124.32     0.03%        0.04    
------------------------------------------------------------
>Wall St gets small lift from technology           
>Prices edge higher on Washington budget worries   
>Euro gains vs dollar as Italy's Monti allays fears 
>Brent oil gains after Chinese oil imports grow    
    
---STOCKS TO WATCH---  
    
    **SAMSUNG ELECTRONICS **
    Index heavyweight Samsung Electronics ended at an all-time
high on Monday, the third straight record out of the last four
closes, thanks to a positive outlook driven by its popular
mobile devices.   
     
    **SAMSUNG ENGINEERING **
    Samsung Engineering said on Monday it will receive $1.5
billion of a $3 billion order it won with China's Shanghai
Electric and Saudi Arabia's Al Toukhi to build a power and
desalination plant in Yanbu, Saudi Arabia. 
    
    **SK HYNIX **
    Power shut down for about 7 minutes on Monday evening in
Chungju industrial complex where SK Hynix has a plant that makes
NAND flash chips, a media report said. The company said the
impact on production was limited.

 (Reporting By Somang Yang; Editing by Richard Pullin)

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