Rebound Anticipated For South Korea Stocks

(RTTNews) - Ahead of Friday's holiday for Labor Day, the South Korea stock market had ended the three-day winning streak in which it had jumped almost 220 points or 3.4 percent to a record closing high. The KOSPI now sits just beneath the 6,600-point although it may bounce higher again on Monday.

The global forecast for the Asian markets is cautiously optimistic on strength from the technology stocks and easing crude oil prices. The European and U.S. markets were mixed to higher and the Asian markets are likely to open in similar fashion.

The KOSPI finished sharply lower on Thursday following losses from the chemical, automobile and technology companies, while the financial sector was mixed.

For the day, the index slumped 92.03 points or 1.38 percent to finish at 6,598.87 after trading between 6,597.83 and 6,750.27. Volume was 676.2 million shares worth 34.7 trillion won. There were 666 decliners and 193 gainers.

Among the actives, Shinhan Financial eased 0.10 percent, while KB Financial dipped 0.06 percent, Hana Financial collected 0.63 percent, Samsung Electronics tumbled 2.43 percent, Samsung SDI tanked 2.39 percent, LG Electronics rallied 3.76 percent, SK Hynix shed 0.54 percent, Naver plunged 4.09 percent, LG Chem retreated 2.58 percent, Lotte Chemical cratered 3.47 percent, SK Innovation contracted 2.40 percent, POSCO Holdings declined 1.49 percent, SK Telecom shed 0.52 percent, KEPCO slumped 2.13 percent, Hyundai Mobis plummeted 3.19 percent, Hyundai Motor crashed 4.50 percent and Kia Motors stumbled 3.25 percent.

The lead from Wall Street is mostly positive as the major averages opened higher but bounced up and down all day, finally ending mixed.

The Dow dropped 152.83 points or 0.31 percent to finish at 49,499.27, while the NASDAQ rose 222.14 points or 0.89 percent to close at a record 25,114.44 and the S&P 500 added 21.11 points or 0.29 percent to end at 7,230.12, also a record.

For the week, the NASDAQ jumped 1.1 percent, the S&P 500 climbed 0.9 percent and the Dow increased 0.6 percent.

The early strength on Wall Street came amid a sharp increase by shares of Apple (AAPL), which saw better than expected Q2 results and forecast revenues for the current quarter above estimates.

In U.S. economic news, the Institute for Supply Management reported that manufacturing activity expanded for the fourth consecutive month in April.

Crude oil prices plunged on Friday on hopes for an end to hostilities even as the Strait of Hormuz remains closed, continuing to disrupt crude oil supply. West Texas Intermediate crude for June delivery was down $3.28 or 3.28 percent at $101.79 per barrel.