S.Korean stocks snap 4-day losing streak as U.S. rate cut bets rise

Hanmi Science

04/07/2019 08:16

* KOSPI index climbs, foreigners net buyers
    * Korean won strengthens versus U.S. dollar
    * South Korea benchmark bond yield falls
    * For the midday report, please click  urn:newsml:reuters.com:*:nL4N2444R9

    SEOUL, July 4 (Reuters) - Round-up of South Korean financial
markets:

** South Korean stocks snapped a four-session losing streak to
end higher on Thursday, boosted by rising hopes of a rate cut by
the U.S. Federal Reserve, in a choppy session due to caution
ahead of Samsung Electronic's  005930.KS  second-quarter
results. The won strengthened, while the benchmark bond yield
fell.
    
** Recent data from multiple sectors pointed to slowing economic
growth in the United States, bolstering the prospect of rate
cuts by the Fed.
    
** The KOSPI benchmark index  .KS11  closed up 12.71 points, or
0.61%, at 2,108.73, snapping a four-session losing streak. 
    
** The KOSPI index closed higher tracking solid global markets,
after Wall Street closed at record highs on expectations of a
rate cut by the Fed, said Lee Young-gon, an analyst at Hana
Financial Investment. South Korean market had been choppy on
worries over Japan's export curbs and ahead of Samsung's
second-quarter profit announcement, Lee added. 
    
** Samsung Electronics is likely to say second-quarter profit
more than halved when it reports preliminary earnings on Friday,
as a drop in memory chip shipments to China's embattled Huawei
exacerbated a price-squeezing supply glut.  urn:newsml:reuters.com:*:nL4N24419G
        
** The pharmaceutical sub-index  .KS32  was the biggest
percentage loser by falling 3%, dragged down by Hanmi Pharm
 128940.KS  and Hanmi Science  008930.KS  that fell more than
27% each.  urn:newsml:reuters.com:*:nL4N24502I
    
** Shares of Air Busan  298690.KS , Asiana Airlines'  020560.KS 
low-budget carrier, closed up 15%, rising for a fourth straight
session on expectations of a sale of the company separately from
Asiana.  urn:newsml:reuters.com:*:nL4N2450Y3
    
** South Korea's economic policy chief said he would not rule
out direct countermeasures against Japan if Tokyo keeps
restrictions on exports of high-tech materials to South Korean
companies for a long time.  urn:newsml:reuters.com:*:nL4N2450PP
     
** Foreigners were net buyers of 40.0 billion won ($34.23
million) worth of shares on the main board. 
    
** The won was quoted at 1,168.6 per dollar on the onshore
settlement platform  KRW=KFTC , 0.23% higher than its previous
close at 1,171.3.
     
** In offshore trading, the won  KRW=  was quoted at 1,168.6 per
U.S. dollar, up 0.1% from the previous day, while in
non-deliverable forward trading its one-month contract
 KRW1MNDFOR=  was quoted at 1,167.8 per dollar.
    
** MSCI's broadest index of Asia-Pacific shares outside Japan
 .MIAPJ0000PUS  was up 0.30%, after U.S. stocks closed at record
highs  MKTS/GLOB . Japanese stocks  .N225  rose 0.30%.
    
** The KOSPI has risen 3.32% so far this year, and gained 1.7%
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
 .KS11  was 440.23 million shares and, of the total traded
issues of 894, the number of advancing shares was 360.
    
** The won has lost 4.5% against the U.S dollar so far this
year.
    
** In money and debt markets, September futures on three-year
treasury bonds  KTBc1  rose 0.04 points to 110.57, while the
3-month Certificate of Deposit rate was quoted at 1.78%.
    
** The most liquid 3-year Korean treasury bond yield fell by 0.4
basis points to 1.425%, while the benchmark 10-year yield fell
by 0.3 basis points to 1.531%.

($1 = 1,168.5100 won)

 (Reporting by Hayoung Choi; Editing by Rashmi Aich)
 ((hayoung.choi@thomsonreuters.com; +82 2 3704 5643; Reuters
Messaging: hayoung.choi.thomsonreuters.com@reuters.net))