Shares of Samsung, LG rise

By Kim Jae-won

Steve Jobs’ death sent stock prices of Samsung Electronics and LG Electronics, the local rivals of technology giant Apple, soaring.

Samsung and LG, both based in Seoul, saw their shares jump 1.53 percent and 6.33 percent respectively Thursday, thanks to the market’s expectation that the Apple founder’s death may positively affect the Korean companies.

Shares of Samsung Electronics, the world’s second-largest mobile phone manufacturer, rose to 855,000 won, and those of rival LG Electronics finished up at 73,900 won.

Korean stocks surged 2.63 percent as investors rushed to pick up beaten-down shares on rallies in the U.S. and European markets, analysts said. The local currency edged down against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) spiked 43.8 points to 1,710.32, snapping a two-day losing run. Trading volume was moderate at 347.7 million shares worth 7.8 trillion won ($6.5 billion) with gainers outnumbering losers 665 to 193.

The KOSPI lost nearly 100 points Tuesday and Wednesday, sparked by renewed Greek debt fears and a downgrade of Italy’s credit rating.

Foreigners and institutions led the rally. Foreigners bought a net 120.6 billion won worth of shares, after two sessions of net selling, and institutions snapped up 456.2 billion won.

Gains were led by technology firms, banks and shipbuilders that underwent sharp falls in the previous session.

Banks made a big rebound, with KB Financial Group up 8.03 percent to 41,700 won and Shinhan Financial Group rising 6.78 percent to 42,500 won.

The world’s largest shipyard, Hyundai Heavy Industries, shot up 10.2 percent to 280,000 won and Samsung Heavy Industries jumped 9.38 percent to finish at 27,400 won.