KOSPI May Stop The Bleeding On Monday

(RTTNews) - The South Korea stock market has moved lower in back-to-back sessions, sinking more than 50 points or 1.6 percent along the way. The KOSPI now sits just above the 3,055-point plateau although it's likely to halt its slide on Monday.

The global forecast for the Asian markets is positive on optimism over a possible resolution to tariff talks. The European and U.S. markets finished higher and the Asian bourses are expected to follow that lead.

The KOSPI finished modestly lower on Friday as losses from the technology, chemical and industrial companies were mitigated by support from the financial sector.

For the day, the index sank 23.62 points or 0.77 percent to finish at 3,055.94 after trading between 3,041.85 and 3,093.56. Volume was 377.4 million shares worth 13.8 trillion won. There were 659 decliners and 245 gainers.

Among the actives, Shinhan Financial improved 1.34 percent, while KB Financial collected 0.64 percent, Hana Financial advanced 0.84 percent, Samsung Electronics climbed 1.00 percent, Samsung SDI tumbled 2.81 percent, LG Electronics sank 0.80 percent, SK Hynix plunged 3.07 percent, Naver retreated 1.34 percent, LG Chem crashed 3.24 percent, Lotte Chemical plummeted 6.39 percent, SK Innovation tanked 2.49 percent, POSCO Holdings surrendered 2.80 percent, SK Telecom dropped 0.88 percent, KEPCO retreated 3.33 percent, Hyundai Mobis declined 1.70 percent, Hyundai Motor stumbled 2.15 percent and Kia Motors slumped 1.41 percent.

The lead from Wall Street is upbeat as the major averages spent most of Friday in the green, shaking off a late slump to finish solidly in positive territory.

The Dow jumped 432.47 points or 1.00 percent to finish at 43,819.27, while the NASDAQ gained 105.56 points or 0.52 percent to end at 20,273.46 and the S&P 500 added 32.05 points or 0.52 percent to end at 6,173.07. For the week, the NASDAQ surged 4.3 percent, the Dow jumped 3.8 percent and the S&P 500 shot up 3.4 percent.

Optimism about new trade deals contributed to the early rally on Wall Street after President Donald Trump indicated the U.S. had signed an agreement with China.

However, stocks pulled back sharply in afternoon trading after Trump said he is ending trade talks with Canada due to the country imposing a digital services tax on U.S. technology companies.

In economic news, the Commerce Department released a closely watched report that included the Federal Reserve's preferred readings on consumer price inflation - which said overall inflation rose in line with expectations.

Crude oil posted gains on Friday in the wake of the U.S. confirming readiness to sign trade deals with China and multiple other trading partners, plus indications of strong summer demand. West Texas Intermediate crude for August delivery rose $0.28 to settle at $65.52 per barrel.

Closer to home, South Korea will provide May figures for industrial production and retail sales later this morning. Output is expected to rise 2.6 percent on month and drop 0.5 percent on year after rising 4.9 percent on month and falling 0.9 percent on year in April. Sales are seen lower by 0.1 percent on month after dropping 0.9 percent in the previous month.