Expected Recovery: South Korean Stock Market
The South Korean market experienced a downturn on Monday, with the KOSPI index falling 1.50%, as technology and financial sectors took a hit[1]. The technology sector saw significant declines, with Samsung Electronics dropping 2.23% and SK Hynix falling 3.25%[1]. The financial sector also struggled, with KB Financial and Shinhan Financial posting losses of 5.30% and 2.32% respectively[1].
Despite a positive global forecast, the mixed performance of European and U.S. markets, and the expected rise in Asian markets, the South Korean market faced some unique pressures[1]. Other notable companies such as LG Electronics, Naver, LG Chem, Lotte Chemical, SK Innovation, POSCO Holdings, SK Telecom, KEPCO, Hyundai Mobis, Kia Motors, and Hyundai Motor had varied performances[1].
Contrastingly, the lead from Wall Street remained firm, with the major averages opening higher and remaining in the green throughout Friday's session[1]. The NASDAQ, S&P 500, and Dow all recorded significant gains for the week, with the NASDAQ rallying 3.9 percent, the S&P 500 surging 2.4 percent, and the Dow shooting up 1.4 percent[1].
The U.S.-Russia conflict over the war with Ukraine and the threat of sanctions on Russian oil exports are sources of uncertainty for crude oil prices[1]. On Friday, crude oil posted very slight gains, with West Texas Intermediate crude for September being up $0.03 or 0.05 percent to $63.91 per barrel[1].
In a positive note, Apple's shares showed a substantial move to the upside last week after announcing plans to spend about $600 billion in the U.S. over the next four years, leading the tech sector higher on Wall Street[1].
The NYSE Arca Computer Hardware Index, however, showed strong performances, climbing by 1.4 percent, indicating a positive outlook for the computer hardware sector[1].
Volume for the day was 334.19 million shares worth 11.2 trillion won[1]. Technology and financial shares are expected to lead the Asian markets higher on Monday.
[1] Source: Various news agencies and market reports.
