';
Views Article – Sharenet Wealth

Asia, Forex

S.Korea stocks edge higher; Japan export curbs in focus

* KOSPI index rises slightly, foreigners net sellers * Korean won drops versus U.S. dollar * South Korea benchmark bond yield rises SEOUL, Aug 1 (Reuters) – Round-up of South Korean financial markets: ** South Korean shares rose slightly on Thursday, after opening lower as U.S. Federal Reserve Chairman Jerome Powell ruled out a lengthy easing cycle, while investors awaited further developments in Japan’s export curbs. The won weakened while the benchmark bond yield rose. ** As of 0205 GMT, the Seoul stock market’s main KOSPI index rose 5.75 points, or 0.28%, to 2,030.30. ** Powell, speaking in a news conference after the release of the central bank’s statement, characterised Wednesday’s rate cut as “a mid-cycle adjustment to policy”, a sign to markets that sharp further cuts were not imminent. ** Japan is preparing for cabinet approval as early as Friday to remove South Korea from the so-called white list status with minimum trade restrictions. ** A trade conflict between Seoul and Tokyo turned into a political issue and it’s likely to be prolonged, SK Securities analyst Han Dae-hoon said in a report. If Japan removes South Korea from its trade white list on Friday, investor sentiment would come under pressure, he added. ** South Korea’s exports tumbled for an eighth straight month in July, with persistently weak global demand and an escalating dispute with Japan painting an increasingly gloomy picture for Asia’s fourth-largest economy. ** Shares of SM Entertainment plunged after the country’s biggest talent agency disappointed investors in its response to a shareholder’s open letter. ** Foreigners were net sellers of 26.3 billion won ($22.17 million) worth of shares on the main board. ** The won was quoted at 1,188.7 per dollar on the onshore settlement platform , 0.47% lower than its previous close at 1,183.1. ** In offshore trading, the won was quoted at 1,186.5 per U.S. dollar, up 0.1% from the previous day, while in non-deliverable forward trading its one-month contract was quoted at 1,185.3 per dollar. ** MSCI’s broadest index of Asia-Pacific shares outside Japan was down 0.34%, after U.S. stocks dropped . Japanese stocks rose 0.13%. ** The KOSPI has fallen 0.46% so far this year and lost 4.7% 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 199.58 million shares and, of the total traded issues of 888, the number of advancing shares was 450. ** The won has lost 6.1% against the U.S dollar so far this year. ** In money and debt markets, September futures on three-year treasury bonds fell 0.07 points to 110.83, while the 3-month Certificate of Deposit rate was quoted at 1.50%. ** The most liquid 3-year Korean treasury bond yield rose by 1.2 basis points to 1.306%, while the benchmark 10-year yield rose by 0.8 basis point to 1.399%. ($1 = 1,186.2000 won) (Reporting by Hayoung Choi; Editing by Subhranshu Sahu)


© 2019 Thomson Reuters. All rights reserved. Reuters content is the intellectual property of Thomson Reuters or its third party content providers. Any copying, republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters. Thomson Reuters shall not be liable for any errors or delays in content, or for any actions taken in reliance thereon. "Reuters" and the Reuters Logo are trademarks of Thomson Reuters and its affiliated companies.