Tech Shares Likely To Pace Rebound For KOSPI

(RTTNews) - The South Korea stock market headed south again on Tuesday, one day after snapping the three-day losing streak in which it had dropped more than 65 points or 2.8 percent. The KOSPI now rests just beneath the 2,350-point plateau although it figures to rebound on Wednesday.

The global forecast for the Asian markets is positive on bargain hunting and encouraging inflation data. The European and U.S. markets were sharply higher and the Asian bourses figure to follow that lead.

The KOSPI finished sharply lower on Tuesday with losses across the board, especially the financial, oil, industrial, chemical and technology sectors.

For the day, the index plunged 61.63 points or 2.56 percent. Volume was 475 million shares worth 7.6 trillion won. There were 874 decliners and 47 gainers.

Among the actives, Shinhan Financial surrendered 2.64 percent, while KB Financial stumbled 3.78 percent, Hana Financial plunged 3.86 percent, Samsung Electronics retreated 1.17 percent, LG Electronics plummeted 4.85 percent, SK Hynix tanked 3.80 percent, Naver weakened 3.21 percent, LG Chem declined 1.81 percent, Lotte Chemical skidded 2.53 percent, S-Oil dropped 2.70 percent, SK Innovation dove 3.46 percent, POSCO slumped 3.36 percent, SK Telecom advanced 0.97 percent, KEPCO sank 1.60 percent, Hyundai Mobis fell 2.29 percent, Hyundai Motor tumbled 2.84 percent and Kia Motors shed 3.17 percent.

The lead from Wall Street is upbeat as the major averages opened sharply higher on Tuesday and remained in the green throughout the session.

The Dow jumped 336.26 points or 1.06 percent to finish at 32,155.40, while the NASDAQ rallied 239.31 points or 2.14 percent to end at 11,428.15 and the S&P 500 advanced 63.53 points or 1.65 percent to close at 3,919.29.

The strength on Wall Street was fueled by bargain hunting, particularly in the banking sector after regulators said there won't be a relapse of the financial crisis from 15 years ago.

Data showing a drop in U.S. consumer prices in February contributed significantly to the positive mood in the market, allaying fears of an accelerated rate hike from the Federal Reserve.

Crude oil prices fell sharply to a nine-week low on Tuesday amid concerns a fresh financial crisis following the collapse of Silicon Valley Bank and Signature Bank could significantly hurt demand. West Texas Intermediate Crude oil futures for April sank $3.47 or 4.7 percent at $71.33 a barrel.

Closer to home, South Korea will provide February numbers for imports, exports and trade balance later this morning. In January, imports rose 3.6 percent on year and exports slumped 7.5 percent for a trade deficit of $5.30 billion.