South Korean shares fall after US and Iran fail to reach deal - Reuters News

- Round-up of South Korean financial markets:


** South Korean shares fell on Monday, after the U.S. and Iran failed to reach a deal to end the war over the weekend. The won weakened, while the benchmark bond yield rose.

** The benchmark KOSPI .KS11 was down 62.26 points, or 1.06%, at 5,796.61 as of 0245 GMT, after falling more than 2% earlier in the session.

** The U.S. military said it will begin a blockade of all maritime traffic entering and exiting Iranian ports and coastal areas on Monday after weekend talks failed to reach a deal to end the war with Iran, jeopardizing a fragile two-week ceasefire.

** "The blockade of the Strait of Hormuz by the U.S. raises the possibility of increased market volatility and global supply chain disruptions," said Seo Sang-young, an analyst at Mirae Asset Securities.

** Among index heavyweights, chipmaker Samsung Electronics 005930.KS fell 2.18%, while peer SK Hynix 000660.KS gained 0.19%. Battery maker LG Energy Solution 373220.KS slid 2.06%.

** Hyundai Motor 005380.KS and sister automaker Kia Corp 000270.KS were down 2.25% and 1.48%, respectively. Steelmaker POSCO Holdings 005490.KS shed 2.71%, while drugmaker Samsung BioLogics 207940.KS fell 1.27%.

** Of the total 908 traded issues, 332 shares advanced, while 538 declined.

** Foreigners were net sellers of shares worth 630.8 billion won ($423.41 million).

** The won was quoted at 1,489.8 per dollar on the onshore settlement platform KRW=KFTC, 0.42% lower than its previous close at 1,483.5.

** In money and debt markets, June futures on three-year treasury bonds KTBc1 lost 0.14 point to 104.15.

** The most liquid three-year Korean treasury bond yield KR3YT=RR rose by 5.2 basis points to 3.408%, while the benchmark 10-year yield KR10YT=RR rose by 5.4 basis points to 3.741%.


($1 = 1,489.8000 won)


(Reporting by Jihoon Lee; Editing by Eileen Soreng)