RTTNews - The Korean market is trading in the red with participants indulging in heavy selling in stocks across various sectors following a weak close on Wall Street overnight. The mood is cautious with a negative bias ahead of a slew of economic reports from across the globe.
The Korean benchmark index KOSPI is currently trading at 1,557, down 21.8 points or 1.38% from its previous close. The KOSPI had ended up 3.10 points or 0.2% at 1,579 on Tuesday.
Bank stocks Korea Exchange Bank, Woori Finance and Shinhan Financial are down by 2% - 2.8%. KB Financial, however, has bucked the trend and is currently trading up by over 1%.
Steel stocks Hyundai Steel and POSCO are trading lower by 2% and 1.4%, respectively. Oil stocks SK Holdings and S-Oil are trading weak. KEPCO is down by over 2%.
Automobile stocks Kia Motor and Hyundai Motor are down by 2% and 1.8%, respectively. Ssangyong Motors is up 15%. In the shipbuilding space, Hyundai Heavy Industries is down by 2.6%, while Samsung Heavy Industries and Daewoo Shipbuilding are trading lower by 1% and 1.2%, respectively. STX Pan Ocean is up with a gain of 1.3%.
Among technology stocks, LG Display LCD and LG Electronics are up by 2% and 1.2%, respectively. Samsung Electronics is down by 1.2% and Hynix Semiconductor is trading flat.
Airlines and telecommunications stocks are trading mixed.
The mood across the Asia-Pacific region is cautious today. The Australian and New Zealand markets are trading modestly higher. Shanghai and Indonesia are trading sharply lower with their key indices losing 2.1% and 1.2%, respectively on fairly heavy selling. Japan and Singapore are also trading notably lower. Stock markets across the region had largely turned in strong performances on Tuesday.
On Wall Street, stocks drifted lower on Tuesday with traders going in for profit taking ahead of key economic data due out in the second half of the week. On the economic front, traders largely shrugged off the Labor Department's report showing a much bigger than expected increase in productivity in the second quarter.
The Dow closed down by 96.50 points or 1% at 9,242, the Nasdaq slipped by 22.51 points or 1.1% to 1,970 and the S&P 500 drifted down by 12.75 points or 1.3% to 994.
Major European markets closed notably lower, with the French CAC 40 index and the U.K.'s FTSE 100 index finishing down by 1.4% and 1.1% respectively, while the German DAX index closed 2.4% down.
Crude oil prices finished below US$70 per barrel on Tuesday as traders braced for what is expected to be a bearish inventory report. Lower stocks also raised concerns for energy demand. Light sweet crude for September delivery settled at US$69.45, down US$1.15 on the session.
For comments and feedback: contact email@example.com