Seoul shares gain 2 percent after mortgage news

Seoul shares have extended their gains by 2 percent higher on Friday afternoon; this is showing that there is a regional recovery. Most of this recovery is a direct result of the U.S. Government coming in and taking over from troubled banks Fannie Mae and Freddie Mac.

The Korea Composite Stock Price Index was up 2.15 percent at 1,570.50 points by 0530 GMT.

Foreign investors have sold a net 309 billion won in the main board, while domestic institutions had a net of 136 billion won. Retail investors bought a net of 115 billion won.

In total 321 million shares which were worth 4.99 trillion won changed hands; this was compared to the 348 million shares that were worth 6.14 trillion won on Thursday

It seems that the news of Fannie Mae and Freddie Mac receiving help from the U.S. Government is having a knock on effect throughout the world’s stock market.