Stocks close higher following all-time high for U.S. indexes

Shares closed higher Tuesday as investors scooped up undervalued shares after U.S. stock indexes closed at an all-time high overnight. The won rose in value against the dollar.

Screens in Hana Bank's trading room in central Seoul show the Kospi closing at 2,478.61 points on Tuesday, up 0.58 percent, or 14.26 points, from the previous trading session. [YONHAP]

Shares closed higher Tuesday as investors scooped up undervalued shares after U.S. stock indexes closed at an all-time high overnight. The won rose in value against the dollar.

The benchmark Kospi added 14.26 points, or 0.58 percent, to reach 2,464.35.

The Kosdaq gained 0.42 points, or 0.05 percent, to 840.11.

Trading volume was moderate at 461 million shares worth 7.87 trillion won ($5.89 billion), with gainers outpacing losers 482 to 379.

Foreigners bought shares worth 137.9 billion won, while retail investors offloaded a net 358.3 billion won. Institutions scooped up a net 205.8 billion won.

Analysts said investors' sentiment was boosted as U.S. shares reached an all-time high overnight.

The Dow Jones Industrial Average closed 0.36 percent higher to set a record. The S&P 500 advanced 0.22 percent, also reaching a fresh high. The tech-heavy Nasdaq added 0.32 percent as well.

"There could be some rebounds for shares that have recently experienced an excessive setback," said Han Ji-young, an analyst from Kiwoom Securities.

Finance shares led the overall gains, with KB Financial rising 4.26 percent to 51,400 won and Shinhan Financial advancing 4.98 percent to 39,000 won. KakaoBank gained 5.21 percent to 29,300 won.

Leading cosmetics firm Amorepacific jumped 5.23 percent to 138,900 won and LG Chem gained 1.03 percent to 391,000 won. Celltrion lost 1.09 percent to 181,600 won.

Tech shares closed mixed, with Samsung Electronics rising 0.13 percent to 75,200 won while SK hynix lost 1.26 percent to 140,800 won.

Battery makers gained ground, with LG Energy Solution rising 0.4 percent to 373,500 won and Samsung SDI climbing 0.14 percent to 358,500 won.

Automaker Hyundai Motor edged up 2.61 percent to 184,800 won and Kia rose 0.80 percent to 87,900 won.

EcoPromity plummeted 11.46 percent to 170,000 won.

The local currency ended at 1,333.4 won against the dollar, down 5.5 won from the previous session's close.

Bond prices, which move inversely to yields, closed mixed. The yield on three-year government bonds rose 1.3 points to 3.286 percent, and the return on the benchmark U.S. 10-year government bonds fell 2.5 points to 4.104 percent.

BY KIM JU-YEON, YONHAP [kim.juyeon2@joongang.co.kr]