Plus   Neg

Rebound Anticipated For South Korea Stock Market

The South Korea stock market on Thursday ended the two-day winning streak in which it had advanced nearly 35 points or 1.7 percent. The KOSPI now rests just above the 2,110-point plateau although it figures to bounce higher again on Friday.

The global forecast for the Asian markets is positive, with financials expected to lead the way on eased investment regulations. The European and U.S. markets were up and the Asian bourses are tipped to open in similar fashion.

The KOSPI finished sharply lower on Thursday with damage across the board - especially from the financials, technology stocks and industrials.

For the day, the index plummeted 49.14 points or 2.27 percent to finish at the daily low of 2,112.37 after peaking at 2,143.33. Volume was 1 billion shares worth 10.6 trillion won. There were 732 decliners and 145 gainers.

Among the actives, Shinhan Financial sank 2.98 percent, while KB Financial plunged 3.30 percent, Hana Financial lost 2.89 percent, Samsung Electronics tumbled 1.89 percent, LG Electronics gave away 3.43 percent, LG Display cratered 4.17 percent, SK Hynix tanked 1.98 percent, LG Chem retreated 3.29 percent, Lotte Chemical dropped 2.29 percent, S-Oil contracted 2.40 percent, SK Innovation slid 1.83 percent, POSCO declined 2.70 percent, SK Telecom fell 1.22 percent, KEPCO shed 2.77 percent, Hyundai Motors surrendered 3.50 percent and Kia Motors plummeted 3.56 percent.

The lead from Wall Street is upbeat as stocks shook off early weakness on Thursday before moving sharply higher in the final hour of trade.

The Dow spiked 299.66 points or 1.18 percent to finish at 25,745.60, while the NASDAQ jumped 107.84 points or 1.09 percent to end at 10.017.00 and the S&P 500 climbed 33.43 points or 1.10 percent to close at 3,083.76.

The late rally on Wall Street was fueled by financial stocks following news that regulators plan to ease banking regulations, including allowing banks to more easily make investments in riskier funds such as venture capital funds.

The choppy trading seen for most of the session came as investors weighed recent optimism about an economic recovery against spiking coronavirus cases in a number of states. Traders may be worried about the possibility of states re-imposing restrictions on businesses.

In economic news, the Labor Department reported a much smaller than expected drop in initial jobless claims last week, while the Commerce Department noted a substantial rebound in durable goods orders last month.

Crude oil prices were higher Thursday, recovering from losses in the previous two sessions despite continued concerns about energy demand outlook following a surge in new coronavirus cases. West Texas Intermediate crude oil futures for August ended up $0.71 or 1.9 percent at $38.72 a barrel.

For comments and feedback contact: editorial@rttnews.com

Follow RTT