(RTTNews) - The South Korean market finished flat on Friday, after closing lower on Thursday. Gains among financials and steelmakers offset losses in Doosan Group. The benchmark Korea Composite Stock Price Index closed up 0.09 point or 0.01% at 1,474.24 points. The index has lost 7.6% during the month and 23% from its mid-May closing high of 1,888.88.

In the currency market, the U.S. dollar finished at 1,089.0 won, up fom Thursday’s close of 1,081.8 won. The South Korean won fell against the dollar after data showed that the South Korea posted its biggest current account deficit in six months and on importers’ demand for dollar.

South Korea’s current account shortfall touched US$2.45 billion in July compared to a $1.82 billion surplus in the previous month, the Bank of Korea said in a report. During the first seven months of the year, the country posted a cumulative current account deficit of $7.8 billion, up from a shortfall of $75.5 million a year ago.

Meanwhile, South Korea’s industrial output grew at a faster pace in July due to robust exports and increased sales of consumer goods. However, the outlook remained bleak as runaway inflation and financial market woes weighed on the economy. According to a report by the National Statistical Office, industrial production expanded 9.1% in July from a year earlier, accelerating from the 6.8% on-year gain in June.

Shares in Doosan Group units fell after Doosan Infracore said Thursday that it and its affiliate will pump a combined $1 billion into companies set up to buy Ingersoll-Rand’s business lines last year to pay back their debt. Nomura Securities cut its rating on Doosan Infracore to “Sell” from “Buy” on Friday. Doosan Infracore slumped by the daily 15.0% limit, Doosan Heavy Industries tumbled 15.0% and Doosan Corp plummeted 14.8%.

Financial stocks closed higher. Samsung Securities added 0.7%, Daewoo Securities climbed 1.5%, Woori Investment & Securities advanced 2.1%. Steel maker POSCO rose 1.6% and Hyundai Steel gained 1.8%. Top lender Kook MinBank jumped 2.9%, Shinhan Financial Group rose 1.0% and Woori Financial added 0.4%.

In the tech sector, Hynix Semiconductors added 1.0%, but index leader Samsung Electronics fell 1.0%, LG Display lost 0.4% and LG Electronics plunged 1.9%.

The U.S. market rallied Thursday following a better-than-expected preliminary reading on economic growth and a drop in jobless claims. The Dow jumped 1.9% to finish at 11,715, the Nasdaq gained 1.2% to end at 2,411 and the broader S&P 500 advanced 1.5% to close at 1,300.

Crude oil prices fell on Thursday on profit taking following gains in the past three sessions and a report that the International Energy Agency and the U.S. government were ready to release oil from emergency reserves if Tropical Storm Gustav disrupted U.S. oil production. Crude for October delivery closed at $115.59 a barrel on the New York Mercantile Exchange, down $2.56. In late Asian session Friday, oil was up $1.04 at $116.63 a barrel by 5:08 a.m. ET.

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