(RTTNews) — The South Korean stock market on Monday halted its two-day streak of gains in which it amassed nearly 40 points, or 1.2 percent. The Kospi is now just below the 3,225-point plateau although it may bounce higher again on Tuesday.
The global outlook for Asian markets is murky, with little movement expected among ongoing concerns over Covid-19. European markets were mixed and flat and US bourses were a little higher and Asian markets were to split the difference.
The Kospi ended slightly lower on Monday after losses from financial stocks, technology stocks and industrial companies.
The index fell for the day 29.47 points, or 0.91 percent, to close at its lowest daily level at 3,224.95, after reaching its peak at 3,265.99. Trading volume reached 813 million shares, valued at 12 trillion won. The number of gainers was 662 shares and 212 shares. Among the active companies, Shinhan Financial is down 1.04%, KB Financial is down 0.77%, Hana Financial is down 0.68%, Samsung Electronics is down 0.63%, LG Electronics is down 1.42%, SK Hynix is down 1.27% and SK Hynix is down 1.27%. Samsung SDI down 1.86%, LG Chem slipped. 1.33 percent, Lotte Chemicals rose 0.56 percent, S-Oil 0.42 percent, SK Innovation 1.90 percent, POSCO 2.22 percent, Hyundai Steel 0.57 percent, Hyundai Motor 0.44 percent, Kia Motors 0.58 percent, and Naver without change.
Driving from Wall Street points to a moderate upside as the major averages pulled back from a weak open on Monday, gradually rising throughout the day to close at fresh record closing highs.
The Dow Jones index rose 82.76 points, or 0.24 percent, to close at 35,144.31, while the Nasdaq rose 3.72 points, or 0.03 percent, to close at 16,565.31, and the Standard & Poor’s 500 rose 10.51 points, or 0.24 percent, to close at 4422.30.
The choppy trading on Wall Street came at a time when upbeat earnings news escalated with concerns about the spread of novel coronavirus variants.
Traders may also be reluctant to take important steps ahead of the Federal Reserve’s monetary policy announcement on Wednesday. The Fed is expected to leave rates unchanged, but traders will be paying close attention to any comments regarding the asset purchase program.
In economic news, the Commerce Department showed another sharp drop in new home sales in June.
Crude oil futures settled lower on Monday amid concerns about the outlook for energy demand due to the rapid spread of the delta variant of the coronavirus in many countries around the world. West Texas Intermediate crude futures for September ended down $0.16, or 0.2 percent, at $71.91 a barrel after four consecutive days of gains. Closer to home, South Korea on Tuesday will release a pre-reported GDP estimate for the second quarter of 2021 later this morning. GDP is expected to rise by 0.7 percent on a quarterly basis and 6.0 percent on a yearly basis after rising by 1.7 percent on a quarterly basis and 1.9 percent on an annual basis in the previous three months.
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