By Yeawon Choi
SEOUL, Sept 15 (Reuters) - Seoul shares edged up in volatile
trading on Tuesday morning, while the won held steady, as market
participants adopted a wait-and-see posture ahead of the U.S.
Federal Reserve's rate-setting meeting later in the week.
The Korea Composite Stock Price Index (KOSPI) .KS11 was up
0.2 percent at 1,934.81 points as of 0233 GMT. Gainers
outnumbered losers by 12 to 10.
"Markets shrank ahead of the Fed meeting, while markets seem
to already price in the negative effect from the probable first
rate hike (in almost a decade)," said Kang Hyun-gie, a stock
analyst at Dongbu Securities.
Foreigners purchased a modest 7.4 billion won($6.25 million)
of shares in the main board by midday. If it holds steady until
the market close, it would end a 28-straight-session selling
streak.
Cheil Industries Inc resumed trade after changing its name
to Samsung (KS:005930) C&T Inc 028260.KS following a merger. Samsung C&T
Inc makes up for 2.5 percent of the main bourse's market value,
ranking it the fourth biggest company. Samsung C&T rose 1.9
percent to 161,500 won.
"There's no special news about the merger today, while
investors seem to expect the company to improve business
strategy, further focusing on profitability through cutting
costs from the synergy effect," said Kim Jang-won, an analyst at
IBK Securities.
In currencies, the South Korean won KRW= KRW=KFTC
remained flat, standing at 1,182.3 to the dollar, barely changed
from the previous close of 1,183.1.
"The won cut some of early gains as Shanghai shares opened
sharply lower, and investors were wary of the BOJ's decision,"
said Yuna Park, a foreign-exchange analyst at Dongbu Securities.
The Bank of Japan's policy decision is expected between 0300
GMT and 0500 GMT.
Park forecast the BOJ would hold rates steady, but investors
were cautiously focused on whether it might signal additional
easing in the future.
September futures on three-year treasury bonds KTBc1 were
up 0.02 points at 109.59.
0233 GMT Prev close
Dollar/won 1,182.3 1,183.1
Yen/won 9.8195/292 9.8281
*KTB futures 109.59 109.57
KOSPI 1,934.81 1,931.46
* Front-month futures on three-year treasury bonds