South Korean Market Trades Modestly Higher

 

 

After drifting lower despite an early upward move, the South Korean stock market is edging up a bit on Monday on the back of some strong buying in banking and shipping stocks. Technology and steel stocks are also trading firm.

The benchmark KOSPI index, which declined to 1,585.6, is currently trading at 1,605, up 4.8 points or 0.3% over its previous close.

Among key bank stocks, Korea Exchange Bank is up 4.5% and Woori Finance is gaining about 1%, while Shinhan Financial and KB Financial are up with modest gains.

Shipping stocks Hyundai Heavy Industries and Samsung Heavy Industries are up 3.3% and 3.6% respectively. STX Pan Ocean and Daewoo Shipbuilding are trading higher by 1% and 1.2% respectively.

In the technology space, Hynix Semiconductor is up 2.4%, LG Display LCD is gaining about 1.6% and LG Electronics is up with a gain of 2%, while Samsung Electronics is down with a modest loss.

Among automobile stocks, Kia Motor and Hyundai Motor are trading weak, while Ssangyong Motor is trading flat. Steel stocks Hyundai Steel and POSCO are up 1.2% and 3% respectively. Oil stocks are exhibiting a mixed trend.

Telecommunications stocks are up with modest gains, while airliners are trading lower.

Among other markets in the Asia-Pacific region, Australia, Shanghai, Hong Kong, Indonesia, Singapore and Taiwan are up with notable gains. New Zealand is trading modestly higher, while Japan and Malaysia are trading weak. Markets across the region ended on a weak note on Friday.

On Wall Street, stocks ended notably higher on Friday, driven by bargain hunting that took place after the Nasdaq and the S&P 500 dropped to sharply lower levels in early trading. The major averages all closed firmly higher after another volatile outing, bouncing off of the three-month closing lows set on Thursday.

The Dow advanced by 125.4 points or 1.3% to 10,193.4, the Nasdaq jumped 25 points or 1.1% to 2,229 and the S&P 500 moved up 16.1 points or 1.5% to 1,087.7.

Major European markets closed modestly lower on Friday, although well off their worst levels. The French CAC 40 index and the U.K. FTSE 100 index edged down by 0.1% and 0.2% respectively, while the German DAX index ended 0.7% down.

Crude oil prices fell on Friday on concerns over the European debt crisis, the sustainability of the U.S. economic recovery and the strengthening U.S. dollar. Light, sweet crude for July delivery settled 76 cents down at US$70.04 a barrel.