South Korea Shares May Run Out Of Steam On Wednesday

(RTTNews) - The South Korea stock market has climbed higher in two straight sessions, gathering more than 35 points or 1.3 percent along the way. The KOSPI now sits just above the 2,630-point plateau although the rally may stall on Wednesday.

The global forecast for the Asian markets is negative thanks to a combination of weak economic and earnings news, while profit taking may also be in order. The European and U.S. markets were down and the Asian bourses are expected to follow that lead.

Th KOSPI finished modestly higher on Tuesday following mixed performances from the financial shares, technology stocks and industrial issues.

For the day, the index added 10.16 points or 0.39 percent to finish at 2,633.45 after trading between 2,615.47 and 2,635.32. Volume was 430 million shares worth 9.72 trillion won. There were 445 decliners and 418 gainers.

Among the actives, Shinhan Financial shed 0.52 percent, while KB Financial stumbled 1.65 percent. Hana Financial collected 0.94 percent, Samsung Electronics rose 0.33 percent, Samsung SDI surrendered 2.23 percent, LG Electronics dipped 0.30 percent, SK Hynix rallied 2.88 percent, Naver spiked 2.22 percent, LG Chem tanked 2.43 percent, Lotte Chemical plummeted 5.08 percent, SK Innovation tumbled 2.77 percent, POSCO plunged 3.29 percent, SK Telecom lost 0.53 percent, KEPCO was up 024 percent, Hyundai Mobis perked 0.22 percent, Hyundai Motor skidded 1.01 percent and Kia Motors dropped 0.89 percent.

The lead from Wall Street is soft as the major averages opened mixed on Tuesday but quickly turned lower and saw all of them finish well under water.

The Dow tumbled 324.80 points or 0.75 percent to finish at 42,740..42, while the NASDAQ slumped 187.10 points or 1.01 percent to close at 18,315.59 and the S&P 500 sank 44.59 points or 0.76 percent to end at 5,815.26.

The pullback on Wall Street reflected profit taking as traders looked to cash in on recent strength in the markets after the Dow and S&P hit record closing highs on Monday.

Corporate earnings also weighed, led lower by the likes of UnitedHealth (UNH) and Citigroup (C), although Walgreens Boots Alliance (WBA) rallied on its results.

On the U.S. economic front, the Federal Reserve Bank of New York reported that regional manufacturing activity has returned to contraction in October.

Oil prices fell sharply on Tuesday as fears about supply disruptions faded on reports that Israel will avoid targeting Iran's oil sites. West Texas Intermediate crude oil futures for November sank $3.25 or 4.4 percent at $70.58 a barrel.