SEOUL, April 19 (Xinhua) -- South Korean stocks rallied for two straight days Thursday on eased geopolitical risks in the Korean Peninsula ahead of next week's summit between South Korea and the Democratic People's Republic of Korea (DPRK).
The benchmark Korea Composite Stock Price Index (KOSPI) gained 6.12 points, or 0.25 percent, to settle at 2,486.10. Trading volume stood at 718.26 million shares worth 10 trillion won (9.4 billion U.S. dollars).
The main index stayed in positive territory as foreigners turned into net buyers later in the trading on expectations for improved inter-Korean relations.
The Blue House of South Korea said Wednesday that it was reviewing ways to turn the current armistice into peace treaty during the upcoming inter-Korean summit.
The Korean Peninsula remains technically at war as the 1950-53 Korean War ended in armistice without signing any peace treaty. The two Koreas agreed to hold their third-ever summit on April 27 at the truce village of Panmunjom.
News reports said the highest-level contact was recently made between the DPRK and the United States, brightening the future for the DPRK-U.S. summit.
Foreign investors were net buyers for the second consecutive session, leading the KOSPI's gain. Individual investors bought stocks, but local financial investors reduced stock holdings.
Large-cap shares ended mixed. Market bellwether Samsung Electronics climbed 2.8 percent, and memory chip giant SK Hynix advanced 3.9 percent. Top steelmaker POSCO gained 1.6 percent, but the biggest automaker Hyundai Motor lost 0.3 percent. The most-used search engine Naver declined 1.9 percent.
South Korea's currency finished at 1,061.5 won against the greenback, up 7.2 won from the previous close.
Bond prices ended higher. Yields on the liquid three-year treasury notes fell 0.1 basis point to 2.495 percent, and the return on the 10-year government bonds shed 0.5 basis points to 2.647 percent.
