KOSPI: Support Expected At 2,400 Points

(RTTNews) - The South Korea stock market returned under pressure from its long weekend, one session after having ended the four-day losing streak in which it had stumbled almost 60 points or 2.5 percent. The KOSPI now sits just above the 2,400-point plateau although it's likely to bounce higher again on Thursday.

The global forecast for the Asian markets is cautiously optimistic, with optimism from easing treasury yields offset by concerns for the health of the world's economies. The European markets were mixed and the U.S. bourses were up and the Asian markets figure to split the difference.

The KOSPI finished sharply lower on Wednesday with damage across the board, especially among the oil, chemical, technology and financial stocks.

For the day, the index plummeted 59.38 points or 2.41 percent to finish at 2,405.69 after trading between 2,402.84 and 2,435.78. Volume was 417.16 million shares worth 9.88 trillion won. There were 831 decliners and 76 gainers.

Among the actives, Shinhan Financial declined 1.54 percent, while KB Financial fell 1.08 percent, Hana Financial surrendered 2.47 percent, Samsung Electronics retreated 1.32 percent, Samsung SDI plummeted 5.37 percent, LG Electronics sank 2.97 percent, SK Hynix gained 0.61 percent, Naver plunged 5.11 percent, LG Chem tumbled 2.11 percent, Lotte Chemical dropped 4.23 percent, S-Oil cratered 5.93 percent, SK Innovation crashed 5.17 percent, POSCO tanked 4.49 percent, SK Telecom stumbled 4.42 percent, KEPCO slumped 2.89 percent, Hyundai Mobis weakened 3.12 percent, Hyundai Motor eased 0.16 percent and Kia Motors added 0.61 percent.

The lead from Wall Street is positive as the major averages opened slightly higher on Wednesday, saw peaks and valleys throughout the session before ending firmly in the green.

The Dow climbed 127.17 points or 0.39 percent to finish at 33,129.55, while the NASDAQ rallied 176.54 points or 1.35 percent to end at 13,236.01 and the S&P 500 gained 34.30 points or 0.81 percent to close at 4,263.75.

Trading on Wall Street was driven in reaction to bond market activity, with treasury yields fluctuating over the course of the session. The higher close by stocks came as yields finished firmly in negative territory, giving back ground after reaching their highest levels in 16 years.

Treasury yields closed lower following the release of a report from payroll processor ADP showing private sector job growth slowed by much more than expected in September.

Traders were still cautious ahead of the Labor Department's more closely watched report on Friday, which may affect the outlook for interest rates.

Crude oil prices plummeted on Wednesday, weighed down by concerns about the outlook for demand amid worries about an economic slowdown. West Texas Intermediate Crude oil futures for November ended lower by $5.01 or 5.6 percent at $84.22 a barrel.

Closer to home, South Korea will provide September figures for consumer prices later today, with forecasts suggesting an increase of 0.3 percent on month and 3.4 percent on year. That follows the 1.0 percent monthly increase and the 3.4 percent yearly gain in August.