KOSPI Poised To Halt Losing Streak

(RTTNews) - The South Korea stock market has finished lower in three straight sessions, sinking more than 35 points or 1.2 percent along the way. The KOSPI now sits just beneath the 3,190-point plateau although it may stop the bleeding on Wednesday.

The global forecast for the Asian markets is upbeat on an improved outlook for interest rates. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to follow the latter lead.

The KOSPI finished modestly higher on Tuesday following gains from the financials and automobile producers, weakness from the chemicals and a mixed picture from the technology shares.

For the day, the index shed 16.86 points or 0.53 percent to finish at 3,189.91. Volume was 369.6 million shares worth 10.05 trillion won. There were 547 decliners and 343 gainers.

Among the actives, Shinhan Financial collected 0.86 percent, while KB Financial climbed 1.24 percent, Hana Financial strengthened 1.18 percent, Samsung Electronics perked 0.14 percent, Samsung SDI tumbled 1.78 percent, LG Electronics dropped 0.91 percent, SK Hynix improved 0.75 percent, LG Chem sank 0.72 percent, Lotte Chemical tanked 2.28 percent, SK Innovation retreated 1.30 percent, POSCO Holdings dipped 0.16 percent, SK Telecom rose 0.36 percent, KEPCO skidded 1.15 percent, Hyundai Mobis added 0.68 percent, Hyundai Motor gained 0.24 percent, Kia Motors was up 0.20 percent and Naver was unchanged.

The lead from Wall Street is firm as the major averages opened higher and continued to accelerate as the day progressed, ending near session highs.

The Dow surged 483.52 points or 1.10 percent to finish at 44,458.61, while the NASDAQ rallied 296.50 points or 1.39 percent to close at a record 21,681.90 and the S&P 500 climbed 72.31 points or 1.13 percent to end at 6,445.76, also a record.

The strength on Wall Street followed the release of the Labor Department's closely watched report on consumer price inflation for July, which was in line with expectations.

Despite the faster than expected annual core price growth, traders seem to believe the data increases the chances the Federal Reserve will lower interest rates next month.

Following the release of the report, CME Group's FedWatch Tool is indicating a 94.4 percent chance the Fed will cut rates by a quarter point in September.

Crude oil prices slumped on Tuesday ahead of an upcoming meeting between the U.S. and Russian presidents on Friday in Alaska. West Texas Intermediate crude for September delivery was down $0.88 or 1.38 percent at $63.08 per barrel.