(RTTNews) - The South Korean market was trading in positive territory for the fifth straight session on Wednesday, tracking the overnight positive lead from Wall Street and buoyed by the government’s stimulus plan unveiled on Tuesday.

At 8.36 P.M. ET, the benchmark Korea Composite Stock Price Index, or KOSPI, was advancing 28.70 points, or 2.40%, to 1,222.98.

South Korea’s Finance Ministry said Tuesday that it plans to invest 50 trillion won, or about $38 billion, in eco-friendly projects over the next four years in an attempt to kick-start the faltering economy. The plan was approved at a cabinet meeting held earlier and is expected to create one million new jobs in Asia’s fourth-largest economy. The government’s stimulus plan calls for investing 39 trillion won in nine major businesses, while 11 trillion won would go to 27 related businesses, the Ministry of Strategy and Finance said.

The South Korean stock market closed higher for the fourth straight session on Tuesday as tech stocks gained on higher memory chip prices. The KOSPI advanced 20.71 points, or 1.76%, to close at 1,194.28.

U.S stocks saw some volatility over the course of the session before ending Tuesday’s trading firmly in positive territory, although well off their highs. The choppy trading came as investors responded to a mixed bag of economic news and remarks by president-elect Barack Obama.

Oil slipped below $49 a barrel on Tuesday as weak U.S. economic data triggered a bout of profit-taking, outweighing concerns over supply-disruptions. Light, sweet crude for February delivery declined $0.23 to settle at $48.58 a barrel on the New York Mercantile Exchange.

In the currency market, the South Korean won was trading at 1,293.75 won to the U.S. dollar in early trades Wednesday, up 18.75 won from Tuesday’s close of 1,312.5 won.

On the economic front, the Korea Automobile Manufacturers’ Association said Wednesday that South Korea’s production of cars, trucks and buses declined 6.4% in 2008 from a year ago due to the global economic downturn. Production fell to 3.83 million units in 2008, the first annual decline in seven years.

Tech stocks advanced on the positive lead from their U.S. counterparts overnight. Market heavyweight Samsung Electronics jumped 4.22%, Hynix Semiconductor advanced 1.08%, LG Philips LCD added 0.99% and LG Electronics rose 2.21%.

Automaker Hyundai Motor rose 4.35%, Ssangyong Motor added 0.38% and steel maker POSCO gained 3.82%. Shipbuilding stocks extended gains. Daewoo Shipbuilding soared 9.20%, Hyundai Heavy Industries surged 5.68% and Samsung Heavy Industries gained 2.95%.

Among banks, Woori Finance jumped 6.05% and Korea Exchange Bank advanced 1.31%. KB Financial, the holding firm of Kookmin Bank, eased 0.50%. In the telecom sector, SK Telecom declined 1.22% and KT lost 2.31%.

Oil issue SK declined 0.93%, while S-Oil added 0.64% and energy stock KEPCO gained 1.56%. Among airline stocks, Korean Air Line eased 0.13% and Asiana Air Line rose 2.96%.

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