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Continued Selling Pressure Anticipated For South Korea Shares

The South Korea stock market has tracked lower in back-to-back sessions, surrendering more than 40 points or 1.3 percent along the way. The KOSPI now rests just above the 3,160-point plateau and it may take further damage on Thursday.

The global forecast for the Asian markets is negative on concerns for overall economic growth amid the latest coronavirus wave. The European and U.S. markets were down and the Asian bourses are tipped to open in similar fashion.

The KOSPI finished modestly lower on Wednesday following mixed performances from the technology and chemical companies, while the financials and industrials offered support.

For the day, the index lost 24.43 points or 0.77 percent to finish at 3,162.99 after trading between 3,157.07 and 3,187.55. Volume was 839.72 million shares worth 16.89 trillion won. There were 560 decliners and 307 gainers.

Among the actives, Shinhan Financial collected 0.92 percent, while KB Financial rallied 2.14 percent, Hana Financial jumped 1.85 percent, Samsung Electronics rose 0.26 percent, LG Electronics tanked 2.37 percent, SK Hynix climbed 1.44 percent, Naver plummeted 7.87 percent, Kakao plunged 10.06 percent, LG Chem fell 0.26 percent, Lotte Chemical gathered 1.41 percent, S-Oil soared 3.79 percent, SK Innovation advanced 0.80 percent, POSCO perked 0.28 percent, SK Telecom added 0.33 percent, KEPCO tumbled 1.68 percent, Hyundai Motor was up 0.24 percent and Kia Motors increased 1.63 percent.

The lead from Wall Street suggests mild consolidation as the major averages opened lower on Wednesday and largely stayed that was throughout the session, ending with modest losses.

The Dow shed 68.93 points or 0.20 percent to finish at 35,031.07, while the NASDAQ sank 87.69 points or 0.57 percent to close at 15,286.64 and the S&P 500 fell 5.96 points or 0.13 percent to end at 4,514.07.

The weakness on Wall Street partly reflected concerns the rapid spread of the delta variant of the coronavirus may slow the global economic recovery.

Worries about the Federal Reserve scaling back its asset purchases also contributed to the selling pressure. The lower close by stocks also came after the Federal Reserve's Beige Book said U.S. economic growth downshifted slightly to a moderate pace in early July through August.

The Beige Book also said inflation was reported to be steady at an elevated pace, as half of the districts characterized the pace of price increases as strong, while half described it as moderate.

Crude oil futures settled higher on Wednesday as prices rose on reports of slow progress in the restoration of crude output in the Gulf of Mexico. West Texas Intermediate Crude oil futures for October ended up $0.95 or 1.4 percent at $69.30 a barrel.

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