July 3, 2019 / 2:27 AM / 2 months ago

S.Korea stocks extend losses on bleak growth outlook

    * KOSPI index drops, foreigners net sellers
    * Korean won weakens versus U.S. dollar
    * South Korea benchmark bond yield falls

    SEOUL, July 3 (Reuters) - Round-up of South Korean financial
markets:

** South Korea's KOSPI stock index         dropped on Wednesday
after the government cut this year's growth target, putting more
strain on investor sentiment that has been already hit by
fragile export data released earlier this week. The Korean won
and the benchmark bond yield fell.
    
** South Korea cut this year's economic growth target to what
would be a seven-year low as the prolonged U.S.-China tariff war
hit global demand for the export powerhouse's manufactured
goods. The government now aims to achieve growth of between 2.4%
and 2.5% this year, slower than the 2.6% to 2.7% range seen
earlier.             
    
** South Korea posted biggest fall in exports in
three-and-a-half years in June, data showed on Monday, denting
government hopes for a pick-up in economic growth after a
shocking decline in the first quarter.             
    
** The KOSPI index is under growing downside pressure after the
ministry lowered this year's growth outlook, said Rhoo
Yong-seok, an analyst at KB Securities. South Korea's economic
fundamentals are likely to fall from the current level, he
added. 
    
** As of 0218 GMT, the Seoul stock market's main KOSPI fell
15.05 points, or 0.71%, to 2,106.97, heading for a fourth
straight session of losses. 
    
** The government's promise to boost support for more investment
in local firms that produce chemicals used in semiconductor
manufacturing process lifted shares of chip-related firms.
Shares of Ram Technology             and Ocean Bridge
            rose as much as 20% and 15%, respectively. 
    
** The measure came in response to Japan's decision to tighten
export controls of high-tech materials to South Korea amid
deepening row over South Koreans forced to work for Japanese
firms during World War Two.             
    
** Foreigners were net sellers of 86.8 billion won ($74.11
million) worth of shares on the main board. 
    
** The won was quoted at 1,171.2 per dollar on the onshore
settlement platform           , 0.44% lower than its previous
close at 1,166.0.
     
** In offshore trading, the won        was quoted at 1,171.3 per
U.S. dollar, down 0.4% from the previous day, while in
non-deliverable forward trading its one-month contract
              was quoted at 1,170.3 per dollar.
    
** MSCI's broadest index of Asia-Pacific shares outside Japan
                was down 0.38%, after U.S. stocks gained
           . Japanese stocks         fell 0.68%.
    
** The KOSPI has risen 3.10% so far this year, and gained 3.2%
in the previous 30 trading sessions.
    
** The current price-to-earnings ratio is 12.10, the dividend
yield is 1.28% and the market capitalisation is 1,242.04
trillion won.
    
** The trading volume during the session on the KOSPI index
        was 234.33 million shares and, of the total traded
issues of 890, the number of advancing shares was 209.
    
** The won has lost 4.7% against the U.S dollar so far this
year.
    
** In money and debt markets, September futures on three-year
treasury bonds         rose 0.11 points to 110.51, while the
3-month Certificate of Deposit rate was quoted at 1.78%.
    
** The most liquid 3-year Korean treasury bond yield fell by 3.5
basis points to 1.429%, while the benchmark 10-year yield fell
by 4.6 basis points to 1.542%.

($1 = 1,171.3000 won)

 (Reporting by Hayoung Choi; Editing by Rashmi Aich)
  
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below