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Win Streak Expected To End For South Korea Shares

The South Korea stock market has climbed higher in three straight sessions, gathering more than 55 points or 2.8 percent along the way. The KOSPI now rests just above the 1,980-point plateau although the rally may stall on Wednesday.

The global forecast for the Asian markets suggests profit taking after multiple sessions of gain, as well as ongoing concerns over the lingering effects of Covid-19. The European and U.S. markets were down and the Asian bourses are tipped to follow in similar fashion.

The KOSPI finished sharply higher on Tuesday following gains from the financial shares, technology stocks, industrials and oil companies.

For the day, the index accelerated 43.50 points or 2.25 percent to finish at 1,980.61 after trading between 1,968.59 and 1,983.77. Volume was 762 million shares worth 11.7 trillion won. There were 654 gainers and 203 decliners.

Among the actives, Shinhan Financial accelerated 5.18 percent, while KB Financial collected 3.06 percent, Hana Financial soared 4.82 percent, Samsung Electronics spiked 3.07 percent, LG Electronics was up 2.36 percent, SK Hynix jumped 1.97 percent, S-Oil gathered 8.38 percent, SK Innovation increased 6.92 percent, Lotte Chemical advanced 2.67 percent, LG Chem gained 0.85 percent, POSCO perked 5.33 percent, SK Telecom added 1.70 percent, KEPCO rose 1.16 percent, Hyundai Motors surged 7.83 percent and Kia Motors skyrocketed 8.01 percent.

The lead from Wall Street is negative as stocks turned in a lackluster performance of Tuesday before coming under pressure going into the close - offsetting gains from the previous session.

The Dow shed 390.51 points or 1.59 percent to finish at 24,206.86, while the NASDAQ lost 49.72 points or 0.54 percent to 9.185.10 and the S&P 500 fell 30.97 points or 1.05 percent to 2,922.94.

The late-day weakness on Wall Street came as traders cashed in on the rally seen on Monday, which lifted the Nasdaq and the S&P 500 to their best closing levels in over two months.

Traders have recently expressed considerable optimism about the economy reopening, although lingering concerns about the coronavirus pandemic led to some caution.

Traders were also reacting to comments from Federal Reserve Chair Jerome Powell, who reaffirmed the central bank will provide more support to the economy.

Crude oil prices were higher Tuesday, supported by increased demand and output cuts on the expiration of the front-month contract. West Texas Intermediate Crude oil futures expired at $32.50 a barrel, gaining $0.68 or 2.1 percent. July series WTI contract advanced $0.31 or 1 percent to settle at $31.96 a barrel.

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