Plus   Neg

Losses May Accelerate For South Korea Shares

The South Korea stock market on Wednesday snapped the four-day winning streak in which it had advanced more than 40 points or 2 percent. The KOSPI now rests just beneath the 2,110-point plateau and it may take further damage again on Thursday.

The global forecast for the Asian markets is negative on continuing concerns over world trade, plus a deep drop in crude oil prices. The European and U.S. markets were down and the Asian markets figure to open in similar fashion.

The KOSPI finished slightly lower on Wednesday as losses from the technology stocks were mitigated by support from the financials and a mixed picture from the industrials.

For the day, the index dipped 3.06 points or 0.14 percent to finish at 2,108.74 after trading between 2,104.41 and 2,118.89. Volume was 686 million shares worth 4.6 trillion won. There were 425 gainers and 393 decliners.

Among the actives, Shinhan Financial collected 0.55 percent, while KB Financial advanced 0.90 percent, Hana Financial eased 0.13 percent, Samsung Electronics shed 0.56 percent, LG Electronics lost 0.73 percent, LG Display plunged 2.29 percent, SK hynix tumbled 2.23 percent, POSCO perked 1.25 percent, SK Telecom climbed 1.38 percent, KEPCO added 0.38 percent, Hyundai Motor skidded 1.74 percent and Kia Motors was unchanged.

The lead from Wall Street is soft as stocks turned in a lackluster performance on Wednesday before ending slightly lower, extending losses from the previous session.

The Dow shed 43.68 points or 0.17 percent to finish at 26,004.83, while the NASDAQ lost 29.85 points or 0.38 percent to 7,792.72 and the S&P 500 fell 5.88 points or 0.20 percent to 2,879.84.

The weakness on Wall Street came as traders weighed lingering trade concerns against optimism about an interest rate cut by the Federal Reserve.

The U.S.-China trade conflict has moved back into the spotlight ahead of the G20 summit later this month - however, a report showing tame inflation has further fueled expectations that the Federal Reserve will cut interest rates in the near future.

Crude oil futures plunged sharply on Wednesday after the Energy Information Administration showed a jump in U.S. crude stockpiles for a second straight week. West Texas Intermediate Crude oil futures for July ended down $2.13 or 4 percent at $51.14 a barrel, the lowest settlement price since mid-January.

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