KOSPI Overdue For Profit Taking On Wednesday

(RTTNews) - The South Korea stock market has moved higher in 11 straight sessions, surging more than 300 points or 9.6 percent along the way. Now at another fresh record closing high, the KOSPI sits just beneath the 3,450-point plateau although investors figure to lock in gains on Wednesday.

The global forecast for the Asian markets is soft ahead of the FOMC's rate decision later today. The European and U.S. markets were down and the Asian bourses figure to open in similar fashion.

The KOSPI finished sharply higher on Tuesday following gains from the technology stocks, weakness from the chemicals and a mixed picture from the financial sector.

For the day, the index jumped 42.31 points or 1.24 percent to finish at 3,449.62 after trading between 3,418.10 and 3,452.50. Volume was 398.4 million shares worth 13.8 trillion won. There were 568 decliners and 297 gainers.

Among the actives, Shinhan Financial strengthened 1.43 percent, while KB Financial retreated 1.51 percent, Hana Financial eased 0.11 percent, Samsung Electronics rallied 3.79 percent, Samsung SDI improved 1.24 percent, LG Electronics added 0.53 percent, SK Hynix surged 5.14 percent, Naver rose 0.43 percent, LG Chem skidded 1.06 percent, Lotte Chemical tumbled 1.65 percent, SK Innovation tanked 1.87 percent, POSCO Holdings dropped 1.05 percent, Hyundai Mobis dipped 0.16 percent, Kia Motors lost 0.29 percent and SK Telecom, KEPCO and Hyundai Motor were unchanged.

The lead from Wall Street is weak as the major averages opened mixed on Tuesday but quickly turned lower and all ended under water.

The Dow slumped 125.55 points or 0.27 percent to finish at 45,757.90, while the NASDAQ fell 14.79 points or 0.07 percent to close at 22,333.75 and the S&P lost 8.52 points or 0.13 percent to end at 6,606.76.

The choppy trading on Wall Street came as traders seemed reluctant to make significant moves as the Federal Reserve began its two-day monetary policy meeting.

While the Fed is widely expected to lower interest rates by 25 basis points, traders will look to the accompanying statement as well as officials' latest economic projections for clues about the outlook for rates.

The Fed is widely expected to lower rates by another 25 basis points at both its October and December meetings, although Fed Chair Jerome Powell is likely to say future rate cuts will depend on incoming economic data.

Crude oil moved sharply higher on Tuesday amid the intensifying Russia-Ukraine war and ahead of the Federal Reserve's interest rate decision later today. West Texas Intermediate crude for October delivery was up $1.22 or 1.93 percent at $64.52 per barrel.