Mild Rebound Seen For South Korea Shares

(RTTNews) - The South Korea stock market has alternated between positive and negative finishes through the last five trading days since the end of the two-day winning streak in which it had climbed almost 40 points or 1.2 percent. The KOSPI now sits just beneath the 3,170-point plateau although it may bounce higher again on Wednesday.

The global forecast for the Asian markets offers little clarity as the markets figure to stagnate amidst a lack of catalysts. The European and U.S. markets were mixed and the Asian bourses are likely to follow that lead.

The KOSPI finished sharply lower on Tuesday following losses from the financial shares, technology stocks and industrial issues. For the day, the index shed 40.87 points or 1.27 percent to finish at 3,169.94 after trading between 3,155.25 and 3,220.27. Volume was 375.19 million shares worth 11.39 trillion won. There were 686 decliners and 208 gainers. Among the actives, Shinhan Financial dropped 1.16 percent, while KB Financial fell 0.35 percent, Hana Financial sank 0.76 percent, Samsung Electronics stumbled 2.65 percent, Samsung SDI tanked 2.10 percent, LG Electronics added 0.39 percent, SK Hynix retreated 1.47 percent, Naver tumbled 2.08 percent, LG Chem improved 0.70 percent, Lotte Chemical eased 0.15 percent, SK Innovation lost 0.87 percent, POSCO Holdings slumped 1.22 percent, SK Telecom climbed 1.07 percent, KEPCO rose 0.27 percent, Hyundai Mobis declined 2.01 percent, Hyundai Motor declined 1.20 percent and Kia Motors contracted 1.51 percent.

The lead from Wall Street is murky as the major averages opened on opposite sides of the unchanged line and finished the same way.

The Dow climbed 179.37 points or 0.40 percent to finish at 44,502.44, while the NASDAQ shed 81.49 points or 0.39 percent to close at 20,892.69 and the S&P 500 perked 4.02 points or 0.06 percent to end at a fresh record high of 6,309.62.

Profit taking contributed to the initial weakness on Wall Street after the NASDAQ and the S&P ended the previous session at record closing highs, while a negative reaction to earnings news also weighing on the markets.

Shares of General Motors (GM) plunged after the automaker reported Q2 earnings that exceeded estimates but were down sharply on year. Leading global security, defense and aerospace contractor Lockheed Martin (LMT) also tumbled on weaker than expected second quarter revenues.

Crude oil moved lower for a third straight session on Tuesday as continuing uncertainty on tariff negotiations between the U.S. and its trading partners has increased demand concerns. West Texas Intermediate crude closed down by $0.99 to settle at $66.21 per barrel.