The South Korea stock market has finished lower in two of three trading days since the end of the two-day winning streak in which it had climbed almost 45 points or 1.5 percent. The KOSPI now sits just above the 3,060-point plateau although it figures to bounce higher again on Thursday.
The global forecast for the Asian markets is mixed to higher, with support from technology stocks likely offset by weakness from oil companies. The European markets were down and the U.S. bourses were mixed and the Asian markets figure to follow the latter lead.
The KOSPI finished modestly lower on Wednesday as losses from the technology, oil and industrial stocks were mitigated by support from the financial sector.
For the day, the index dipped 8.58 points or 0.28 percent to finish at 3,061.42 after trading between 3,061.40 and 3,093.89. Volume was 1.1 billion shares worth 14.2 trillion won. There were 476 gainers and 378 decliners.
Among the actives, Shinhan Financial collected 0.94 percent, while KB Financial spiked 2.37 percent, Hana Financial soared 3.51 percent, Samsung Electronics dropped 0.97 percent, LG Electronics lost 1.32 percent, SK Hynix skidded 1.49 percent, Naver rose 0.13 percent, LG Chem fell 0.37 percent, S-Oil tumbled 1.69 percent, SK Innovation retreated 1.79 percent, POSCO sank 0.78 percent, SK Telecom rallied 2.42 percent, KEPCO shed 0.43 percent, Hyundai Motor shed 0.68 percent, Kia Motors declined 1.66 percent and Lotte Chemical was unchanged.
The lead from Wall Street is conflicted as the major averages opened higher on Wednesday, although the Dow fell under pressure as the day progressed and finished in the red.
The Dow dipped 85.41 points or 0.26 percent to finish at 32,981.55, while the NASDAQ surged 201.48 points or 1.54 percent to end at 13,246.87 and the S&P 500 rose 14.34 points or 0.36 percent to close at 3,972.89.
The rally by technology stocks reflected window dressing on the final day of the first quarter as the tech-heavy NASDAQ underperformed the Dow and the S&P. The NASDAQ rose 2.8 percent in Q1, while the Dow jumped 5.8 percent and the S&P spiked 7.8 percent.
A report from payroll processor ADP showing strong private sector job growth in March also generated some positive sentiment. ADP said private sector employment surged up by 517,000 jobs in March after climbing by an upwardly revised 176,000 jobs in February.
Crude oil prices moved sharply lower Wednesday amid concerns about the outlook for energy demand. West Texas Intermediate Crude oil futures for May ended down $1.39 or 2.3 percent at $59.16 a barrel.
Closer to home, South Korea will provide March figures for imports, exports and trade balance later this morning. Imports are expected to jump 17.5 percent on year after rising 13.9 percent in February. Exports are called higher by an annual 16.2 percent after gaining 9.5 percent in the previous month. The trade surplus in February was $2.71 billion.
Market Analysis
Tech Shares Expected To Boost South Korea Stock Market
2021-03-31 23:00:18
