Seoul shares fall

Seoul shares fell on Friday as investors dumped cyclical stocks such as refiners and shipyards and sought safer assets after borrowing costs for Europe's stricken economies rose. Foreign investors were sellers of a net 416 billion won ($368 million) worth of stocks, offloading shares for a second straight session, and institutions dumped a net 169 billion won, selling shares for a fourth consecutive session.
"Fears about Europe are widespread and that has chilled investor sentiment," said Kwak Joong-bo, a market analyst at Samsung Securities. Greek police clashed with anti-austerity protesters and Italy announced sweeping reforms in response to a European debt crisis that on Thursday pushed borrowing costs for France and Spain sharply higher.
The Korea Composite Stock Price Index (KOSPI) ended down 2 percent at 1,839.17 points. LG Electronics shares rose 2.4 percent and LG Display outperformed and ended flat amid growing hopes for a turnaround, analysts said. Defensive stocks outperformed. Hitejinro Co Ltd, a beer and spirits maker, advanced 3.9 percent, and Lotte Chilsung, a beverage maker, rose 0.5 percent. The KOSPI 200 index ended down 2.1 percent at 239.43 points, while the junior Kosdaq market declined 0.68 percent to 503.09 points.