South Korea Bourse May Extend Tuesday's Losses


(RTTNews) – The South Korea stock market gave up less than a single point on Tuesday, but that was enough to halt the eight-day winning streak in which it had surged almost 140 points or 6.9 percent. The KOSPI remains just above the 2,400-point plateau and it may take further damage on Wednesday.

The global forecast for the Asian markets is soft on profit taking and on concerns for a COVID-19 vaccine. The European and U.S. markets were down and the Asian bourses figure to follow suit.

The KOSPI finished barely lower on Tuesday following losses from the financials and chemical companies, while the technology stocks, industrials and oil producers were mixed.

For the day, the index eased 0.58 points or 0.02 percent to finish at 2,403.15 after trading between 2,385.87 and 2,418.89. Volume was 715 million shares worth 10 trillion won. There were 504 decliners and 322 gainers.

Among the actives, Shinhan Financial lost 0.35 percent, while KB Financial skidded 1.35 percent, Hana Financial tumbled 1.80 percent, Samsung Electronics advanced 0.83 percent, LG Electronics dipped 0.22 percent, SK Hynix spiked 3.16 percent, Samsung SDI jumped 1.25 percent, LG Chem plunged 4.17 percent, Lotte Chemical sank 1.56 percent, S-Oil added 0.52 percent, SK Innovation tanked 2.02 percent, POSCO dropped 0.97 percent, SK Telecom advanced 1.25 percent, KEPCO fell 0.47 percent, Hyundai Motor shed 0.56 percent and Kia Motors gathered 1.21 percent.

The lead from Wall Street is negative as stocks opened lower and largely remained that way, finishing in the red after three straight sessions of gains.

The Dow sank 157.71 points or 0.55 percent to finish at 28,679.81, while the NASDAQ slid 12.36 points or 0.10 percent to end at 11,863.90 and the S&P 500 fell 22.29 points or 0.63 percent to close at 3,511.93.

The pullback on Wall Street may partly have reflected profit taking after the major averages climbed to their best closing levels in over a month on Monday.

Negative sentiment was also generated in reaction to news that Johnson & Johnson has paused a late-stage trial of its COVID-19 vaccine candidate due to an unexplained illness in a study participant.

Uncertainty about a new stimulus bill also weighed on Wall Street, as House Speaker Nancy Pelosi continued her attacks on the White House’s latest offer.

In economic news, the Labor Department reported a modest increase in consumer prices last month, with the uptick in prices matching estimates.

Crude oil prices rose sharply on Tuesday, lifted by a jump in Chinese crude oil imports last month. But the upside was capped by a surge in crude output in the Gulf of Mexico region as work in oil facilities resumed after Hurricane Delta. West Texas Intermediate Crude futures for November ended up $0.77 or 2 percent at $40.20 a barrel.

Closer to home, the Bank of Korea will wrap up its monetary policy meeting later this morning and then announce its decision on interest rates; the central bank is widely expected to keep its benchmark lending rate unchanged at 0.50 percent.

A Global Asset Management Seoul Korea Magazine

This post was originally published on this site