KOSPI Poised To Bounce Higher Again On Wednesday

(RTTNews) - The South Korea stock market ticked lower again on Tuesday, one session after ending the three-day losing streak in which it had dropped more than 35 points or 1.5 percent. The KOSPI now rests just above the 2,215-point plateau although it's predicted to rebound again on Wednesday.

The global forecast for the Asian markets is upbeat on continued optimism over falling treasury yields and an improved outlook for interest rates. The European and U.S. markets were up and the Asian bourses are expected to follow that lead.

The KOSPI finished barely lower on Tuesday as losses from the oil and chemical companies were offset by support from the financials and automobile producers, while the technology companies were mixed.

For the day, the index eased 1.09 points or 0.05 percent to finish at 2,235.07 after trading between 2,230.75 and 2,253.24. Volume was 448.8 million shares worth 6.92 trillion won. There were 528 decliners and 335 gainers.

Among the actives, Shinhan Financial collected 0.56 percent, while KB Financial strengthened 1.33 percent, Hana Financial advanced 0.93 percent, Samsung Electronics perked 0.35 percent, Samsung SDI increased 0.77 percent, LG Electronics dropped 0.99 percent, SK Hynix rallied 1.85 percent, Naver improved 0.91 percent, LG Chem plunged 4.00 percent, Lotte Chemical slumped 1.35 percent, S-Oil retreated 1.67 percent, SK Innovation shed 0.65 percent, POSCO tanked 3.43 percent, SK Telecom perked 0.20 percent, KEPCO rose 0.30 percent, Hyundai Mobis added 0..51 percent, Hyundai Motor gained 0.62 percent and Kia Motors jumped 1.53 percent.

The lead from Wall Street is solid for the third straight session as the major averages opened higher and picked up steam as the day progressed, ending near session highs.

For the day, the index spiked 337.12 points or 1.07 percent to finish at 31,836.74, while the NASDAQ surged 246.50 points or 2.25 percent to close at 11,199.12 and the S&P 500 jumped 61.77 points or 1.63 percent to end at 3,859.11.

The extended rally on Wall Street came amid a sharp pullback by treasury yields, with the yield on the benchmark 10-year note showing a steep drop after ending the previous session at a 14-year closing high.

The pullback by treasury yields came as traders continue to express optimism the Federal Reserve will signal a slower pace of interest rate hikes following its meeting next week.

The markets also benefited from a positive reaction to the latest earnings news, with General Motors (GM) and Coca-Cola (KO) posting strong gains after reporting better than expected third quarter earnings.

Crude oil futures settled higher Tuesday, buoyed by a weaker dollar and concerns about supply after Saudi Arabia's energy minister commented that energy stocks were being used as a mechanism to manipulate markets. West Texas Intermediate Crude futures for December ended higher by $0.74 or 0.9 percent at $85.32 a barrel.