Continued Consolidation Called For South Korea Stock Market

(RTTNews) - The South Korea stock market has alternated between positive and negative finishes through the last six trading days since the end of the two-day losing streak in which it had stumbled almost 30 points or 1.3 percent. The KOSPI now rests just beneath the 2,185-point plateau and it's looking at another soft start again on Friday.

The global forecast for the Asian markets is soft on economic growth concerns and coronavirus fears. The European and U.S. markets were down and the Asian markets are tipped to open in similar fashion.

The KOSPI finished modestly lower on Thursday as losses from the technology stocks were mitigated by support from the financials and industrials.

For the day, the index shed 18.12 points or 0.82 percent to finish at 2,183.76 after trading between 2,177.82 and 2,207.34. Volume was 775 million shares worth 1.5 trillion won. There were 435 decliners and 403 gainers.

Among the actives, Shinhan Financial and KB Financial both collected 0.84 percent, while Hana Financial advanced 0.90 percent, Samsung Electronics tumbled 1.65 percent, LG Electronics shed 0.53 percent, SK Hynix fell 0.36 percent, Samsung SDI plunged 1.78 percent, Lotte Chemical and Kia Motors both added 0.28 percent, S-Oil gained 0.63 percent, SK Innovation rallied 0.81 percent, Hyundai Motors climbed 0.92 percent and POSCO, SK Telecom and KEPCO were unchanged.

The lead from Wall Street is negative as stocks opened in the red on Thursday and remained there throughout the session.

The Dow shed 135.39 points or 0.50 percent to finish at 26,734.71, while the NASDAQ lost 76.66 points or 0.73 percent to end at 10,473.83 and the S&P 500 fell 10.99 points or 0.34 percent to close at 3,215.57.

The weakness on Wall Street followed the release of a Labor Department report showing the decline in first-time claims for unemployment benefits nearly ground to a halt last week.

The negative sentiment was partly offset by a Commerce Department report showing another substantial increase in retail sales in June, although the data was seen as old news as some states rolled back their reopening plans due to a surge in coronavirus cases.

Crude oil futures settled lower on Thursday on worries about the outlook for near term energy demand after OPEC decided to start tapering production cuts beginning next month. West Texas Intermediate Crude oil futures for August were down $0.45 or 1.1 percent at $40.75 a barrel.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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