S.Korean shares surge on upbeat U.S. data, virus vaccine hopes

* KOSPI rises more than 1%, foreigners net sellers

* Korean won strengthens versus U.S. dollar

* South Korea benchmark bond yield falls

* SK Biopharma makes stellar debut

* For the midday report, please click

SEOUL, July 2 (Reuters) – Round-up of South Korean financial markets:

** South Korean shares ended more than 1% higher on Thursday on increased risk appetite after upbeat U.S. factory data and positive developments in a COVID-19 drug trial boosted hopes of a swift global economic recovery. The won strengthened, while the benchmark bond yield fell.

** The Seoul stock market’s main KOSPI rose 28.67 points, or 1.36%, to close at 2,135.37.

** While U.S. manufacturing activity rebounded in June and hit the highest in more than a year, a COVID-19 vaccine developed by German biotech firm BioNTech and U.S. firm Pfizer showed potential in early-stage human trials.

** A recovery in U.S. economic indicators has proved with real numbers that the worst of the coronavirus crisis has passed, said Shin Joong-ho, an analyst at eBest Investment & Securities.

** SK Biopharmaceuticals Co Ltd jumped nearly 30% in its Seoul stock market debut, as the initial public offering market gathers steam after the novel coronavirus outbreak stalled potential listings.

** Foreigners were net sellers of 12.5 billion won ($10.41 million) worth of shares on the main board.

** The won closed trading 0.28% higher at 1,200.0 per dollar on the onshore settlement platform.

** In offshore trading, the won was quoted up 0.2% at 1,199.2 per dollar, while in non-deliverable forward trading its one-month contract was also quoted at 1,199.2.

** The trading volume during the session in the KOSPI index was 1,073.19 million shares. Of the total traded issues of 899, the number of advancing shares was 671.

** In money and debt markets, September futures on three-year treasury bonds rose 0.06 point to 112.07.

** The most liquid 3-year Korean treasury bond yield fell by 1.4 basis points to 0.835%, while the benchmark 10-year yield fell by 2.8 basis points to 1.378%. ($1 = 1,200.5300 won) (Reporting by Jihoon Lee; Editing by Rashmi Aich)

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