South Korean shares rise on upbeat China GDP

South Korean shares rose on Monday as China's gross domestic product (GDP) growth was higher than market consensus, easing concerns over economic slowdown in the world's No.2 economy. The benchmark Korea Composite Stock Price Index (KOSPI) rose 5. 18 points, or 0.28 percent, to close at 1,875.16. Trading volume stood at 326.64 million shares worth 3.15 trillion won (2.8 billion U.S. dollars). China's GDP growth slowed to 7.5 percent in the second quarter from 7.7 percent during the first quarter. But, the reading was higher than analysts' estimates that fell to the near-7 percent level. Following the GDP announcement, foreigners turned into net buyers by purchasing domestic stocks worth around 100 billion won. Retail and institutional investors sold stocks worth 63 billion won and 35 billion won respectively. Market watchers noted that there remained worries about the Chinese economic slump, forecasting the Chinese government may unveil stimulus measures to boost the world's second-largest economy. Gainers outnumbered decliners. Market bellwether Samsung Electronics rose 0.1 percent to close at 1,313,000 won, and leading chemical firm LG Chem, sensitive to business cycle, jumped 3.2 percent due to the upbeat GDP data from China. The world's largest shipbuilder Hyundai Heavy Industries advanced 2.9 percent, and the nation's No.2 carmaker Kia Motors climbed 1.7 percent. Top life insurer Samsung Life Insurance fell 2.3 percent, and web portal operator NHN declined 1.2 percent. The local currency finished at 1,122.0 won against the greenback, up 2.5 won from Friday's close. Bond prices ended lower. The yield on the liquid three-year treasury notes gained 0.03 percentage point to 2.89 percent, and the return on the benchmark 10-year government bonds jumped 0.07 percentage point to 3.45 percent.