(2nd LD) Seoul shares end tad higher, snapping 2-day losing streak

South Korean stocks rebounded on Monday, ending a two-day decline, as bargain hunters bought chip-related shares following Wall Street's record-setting rally. The Korea Composite Stock Price Index (KOSPI) rose 40.89 points, or 0.65%, to close at 6,299.66. The benchmark index opened 0.76% higher and peaked at 2.16% in early trading.

However, the market later moved sideways amid heavy foreign selling, with gainers outnumbering losers 695 to 183. Large-cap semiconductor stocks faced pressure after reports suggested Apple might adopt memory chips from Chinese company CXMT. Despite this, semiconductor equipment and materials stocks attracted bargain hunters. On Friday, U.S. job reports eased concerns over a potential rate hike, leading to a Dow Jones Industrial Average gain of 0.28% and an S&P 500 increase of 0.62%, including a Nasdaq Composite Index rise of 1.3%.

Samsung Electronics and SK hynix, major semiconductor players, saw declines of 0.43% and 0.14%, respectively, while LG Energy Solution and Hyundai Motor gained 2.08% and 3.16%, respectively. The Korean won weakened against the US dollar, closing at 1,418.4 won, down 2.3 from the previous session. Bond prices fell, with the three-year Treasury yield rising 3.2 basis points to 3.778% and five-year government bond return adding 3 basis points to 3.994%.