The South Korean stock market has experienced gains over the last three sessions, with the KOSPI index rising by over 90 points or 3.6%, now positioned slightly above the 2,490-point level. However, investors might consider capitalizing on these gains on Wednesday.
The global outlook for Asian markets appears negative due to renewed concerns surrounding interest rates. While European markets showed mixed results, U.S. markets declined, likely influencing a similar trend in Asian markets.
On Monday, the KOSPI edged higher, despite mixed results among financial shares, chemical companies, technology stocks, and industrial sectors. The index increased by 3.46 points or 0.14% to close at 2,492.10, within a trading range of 2,492.09 to 2,521.86, on a volume of 400.83 million shares valued at 9.23 trillion won. The session saw 444 stocks advancing against 425 declining.
Notable performances included KB Financial increasing by 0.12%, Hana Financial decreasing by 0.17%, and Samsung Electronics declining by 0.89%. Meanwhile, Samsung SDI went up by 1.00%, LG Electronics improved by 0.23%, and SK Hynix fell by 2.40%. Naver decreased by 0.24%, LG Chem dropped 0.39%, while Lotte Chemical gained 0.33%. SK Innovation surged by 3.03%, POSCO Holdings rose by 0.19%, SK Telecom improved by 0.36%, and KEPCO rallied 2.35%. Hyundai Mobis jumped 1.84%, Hyundai Motor decreased 0.24%, Kia Motors fell 1.39%, and Shinhan Financial remained unchanged.
Wall Street offered a pessimistic lead, with major indexes starting Tuesday slightly higher but then declining significantly. The Dow dropped 178.20 points or 0.42% to 42,528.36, the NASDAQ plunged 375.30 points or 1.89% to 19,489.68, and the S&P 500 fell 66.35 points or 1.11% to 5,909.03.
This steep decline in stocks coincided with a significant rise in treasury yields, marking the highest closing level in eight months for the benchmark 10-year note, amid upbeat U.S. economic reports. The Institute for Supply Management reported that U.S. service sector activity surpassed expectations in December, with the prices index rising to a one-year high, stirring concerns over persistent inflation. Additionally, the Labor Department noted an unexpected increase in U.S. job openings in November.
Oil prices moved upward on Tuesday due to a potential supply shortfall after China's refusal to import oil from Iran and Russia, coupled with unusually cold weather in the U.S. West Texas Intermediate Crude oil futures for February concluded at $74.25 per barrel, climbing $0.69 or 0.94%.
Domestically, South Korea is set to release current account data for November later today, following a current account surplus of $9.78 billion in October.
The material has been provided by InstaForex Company -
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