Additional Support Predicted For South Korea Shares

(RTTNews) - The South Korea stock market on Tuesday wrote a finish to the two-day slide in which it had slumped almost 25 points or 1 percent. The KOSPI now sits just beneath the 2,435-point plateau and it may add to its winnings on Wednesday.

The global forecast for the Asian markets is upbeat on better than expected U.S. inflation data, which fueled optimism over interest rates. The European and U.S. markets were firmly higher and the Asian bourses figure to follow suit.

The KOSPI finished sharply higher on Tuesday following gains from the financial shares, technology stocks, energy companies and industrials.

For the day, the index jumped 29.49 points or 1.23 percent to finish at 2,433.25 after trading between 2,422.97 and 2,442.37. Volume was 300 million shares worth 6.27 trillion won. There were 709 gainers and 108 decliners.

Among the actives, Shinhan Financial collected 0.85 percent, while KB Financial climbed 1.13 percent, Hana Financial improved 1.23 percent, Samsung Electronics added 0.57 percent, Samsung SDI and SK Innovation both spiked 2.52 percent, LG Electronics gained 1.18 percent, SK Hynix slumped 1.37 percent, Naver soared 3.12 percent, LG Chem rallied 2.54 percent, Lotte Chemical advanced 1.33 percent, S-Oil strengthened 1.78 percent, POSCO surged 4.31 percent, SK Telecom jumped 2.19 percent, KEPCO tumbled 2.63 percent, Hyundai Mobis rose 0.45 percent, Hyundai Motor accelerated 1.10 percent and Kia Motors increased 1.56 percent.

The lead from Wall Street is broadly positive as the major averages opened sharply higher on Tuesday and stayed that way throughout the session.

The Dow surged 489.83 points or 1.43 percent to finish at 34,827.70, while the NASDAQ rallied 326.64 points or 2.37 percent to end at 14,094.38 and the S&P 500 jumped 84.15 points or 1.91 percent to close at 4,495.70.

The rally on Wall Street came following the release of the Labor Department's highly anticipated report on consumer price inflation in October, which came in lower than expected.

The report may provide the Federal Reserve with confidence that inflation is on a downward trajectory, so further rate hikes may not be necessary.

Treasury yields moved sharply lower following the release of the report, adding to the buying interest on Wall Street.

Crude oil futures failed to hold gains and settled flat on Tuesday as traders reacted to a report from the International Energy Agency that oil markets won't be as tight as expected this quarter. West Texas Intermediate Crude oil futures for December settled at $78.26 a barrel, unchanged from the previous close.