South Korea Bourse May Reverse Monday's Losses

(RTTNews) - The South Korea stock market turned lower again on Monday, one session after halting the five-day losing streak in which it had tumbled almost 110 points or 4.5 percent. The KOSPI now rests just beneath the 2,375-point plateau although it figures to bounce higher again on Tuesday.

The global forecast for the Asian markets is upbeat on bargain hunting and an improved outlook for interest rates. The European markets were down and the U.S. bourses were up and the Asian markets are tipped to follow the latter lead.

The KOSPI finished modestly lower on Monday following losses from the industrials, support from the financials and a mixed picture from the technology and chemical companies.

For the day, the index shed 16.02 points or 0.67 percent to finish at 2,373.02 after trading between 2,368.47 and 2,381.87. Volume was 489.54 million shares worth 5.72 trillion won. There were 486 decliners and 363 gainers.

Among the actives, Shinhan Financial collected 1.32 percent, while KB Financial strengthened 1.33 percent, Hana Financial jumped 1.61 percent, Samsung Electronics retreated 1.49 percent, Samsung SDI improved 0.78 percent, LG Electronics slumped 1.32 percent, SK Hynix shed 0.49 percent, Naver skidded 1.03 percent, LG Chem perked 0.16 percent, Lotte Chemical spiked 2.42 percent, S-Oil rallied 2.37 percent, SK Innovation lost 0.30 percent, POSCO fell 0.35 percent, SK Telecom dipped 0.20 percent, KEPCO declined 1.67 percent, Hyundai Mobis was down 0.24 percent, Hyundai Motor added 0.62 percent and Kia Motors eased 0.15 percent.

The lead from Wall Street is broadly positive as the major averages opened flat on Monday but accelerated as the day progressed, ending near session highs.

The Dow surged 528 points or 1.58 percent to finish at 34,005.04, while the NASDAQ rallied 139.12 points or 1.26 percent to end at 11,143.74 and the S&P 500 jumped 56.18 points or 1.43 percent to close at 3,990.56.

The rally on Wall Street came as traders picked up stocks at reduced levels following last week's notable decline.

Positive sentiment was also generated in reaction to a survey from the New York Federal Reserve showing inflation expectations decreased at the short, medium, and longer terms in November.

Traders also looked ahead to the Federal Reserve's highly anticipated monetary policy decision on Wednesday. While the Fed is widely expected to slow the pace of interest rate hikes to 50 basis points, traders have recently expressed concerns about how much further the Fed will need to raise rates in order to contain inflation.

Crude oil prices rose sharply Monday on supply concerns following the continued closure of a pipeline carrying Canadian heavy crude to the U.S. Gulf Coast of Mexico. West Texas Intermediate Crude oil futures for January ended higher by $2.15 or 3 percent at $73.17 a barrel.