(RTTNews) – The South Korea stock market has moved lower in back-to-back sessions, sinking more than 40 points or 1.3 percent along the way. The KOSPI now rests just above the 2,915-point plateau and it’s looking at another soft start again on Wednesday.
The global forecast for the Asian markets suggests mild consolidation amid volatility and uncertainty, with crude oil prices offering slight support. The European and U.S. markets were down and the Asian bourses are expected to open in similar fashion.
The KOSPI finished sharply lower on Tuesday following losses from the financials and technology stocks, although the oil and chemical companies offered support.
For the day, the index retreated 39.92 points or 1.35 percent to finish at 2,916.38 after trading between 2,901.51 and 2,950.94. Volume was 648 million shares worth 12.5 trillion won. There were 572 decliners and 310 gainers.
Among the actives, Shinhan Financial declined 1.66 percent, while KB Financial dropped 0.91 percent, Hana Financial skidded 1.01 percent, Samsung Electronics plunged 3.50 percent, LG Electronics soared 3.33 percent, SK Hynix tumbled 2.66 percent, Naver plummeted 4.25 percent, Samsung SDI cratered 3.35 percent, LG Chem spiked 4.19 percent, Lotte Chemical and POSCO both added 0.63 percent, S-Oil skyrocketed 6.13 percent, SK Innovation surged 3.43 percent, SK Telecom surrendered 1.31 percent, KEPCO tanked 2.41 percent, Hyundai Motor dipped 0.24 percent and Kia Motors rose 0.37 percent.
The lead from Wall Street ends up being negative as the major averages spent all of Tuesday bouncing back and forth across the unchanged line before finally settling slightly in the red.
The Dow dropped 117.72 points or 0.34 percent to finish at 34,378.34, while the NASDAQ dipped 20.28 points or 0.14 percent to close at 14,465.92 and the S&P 500 fell 10.54 points or 0.24 percent to end at 4,350.65.
The choppy trading on Wall Street came as traders expressed uncertainty about the outlook for the markets following the volatility seen throughout early October. Concerns about inflation and the Federal Reserve scaling back stimulus as early as next month also weighed.
Earnings news was also on traders’ minds, with financial giant JPMorgan Chase (JPM) due to report Q3 results later today. Bank of America (BAC), Citigroup (C), Morgan Stanley (MS), Wells Fargo (WFC), and Goldman Sachs (GS) are also due to report their results in the coming days.
Crude oil futures settled slightly higher Tuesday after prices moved up amid speculation the fuel market could get tighter this winter. West Texas Intermediate Crude oil futures for November rose $0.12 or about 0.2 percent at $80.64 a barrel.
Closer to home, South Korea will release September numbers for unemployment later this morning; in August, the jobless rate was 2.8 percent.