S.Korean stocks fall on China growth target cut, weak U.S. data

Welcron

05/03/2019 06:56

* KOSPI index falls, foreigners sell
    * Korean won remains flat
    * South Korea bond yield inches up
    * For the midday report, please click  urn:newsml:reuters.com:*:nL3N20S0DP

    SEOUL, March 5 (Reuters) - Round-up of South Korean
financial markets:
    
    ** South Korea's KOSPI stock index  .KS11  fell for the
third straight session on Tuesday as China's cut in growth
target and weaker-than-expected U.S. construction data chilled
investor sentiment amid uncertainty over the Sino-U.S. trade
deal. The Korean won ended flat while bond yields edged up.
    
    ** Chinese Commerce Minister Zhong Shan said on Tuesday
trade talks with the United States have been difficult but that
working teams from both countries are continuing with their
negotiations.  urn:newsml:reuters.com:*:nB9N206023
    
    ** While China has lowered its 2019 economic growth target
at 6.0-6.5 percent, from around 6.5 percent last year, it
offered more stimulus, including cuts in taxes and social
security fees, increases in infrastructure investment and
lending to small firms.  urn:newsml:reuters.com:*:nB9N20G013  urn:newsml:reuters.com:*:nL3N20S0BV 
    
    ** U.S. construction spending unexpectedly fell in December
as investment in both private and public projects dropped,
leading economists to expect that the government will trim its
economic growth estimate for the fourth quarter.  urn:newsml:reuters.com:*:nL1N20O1F7
    
    ** South Korea's February headline inflation rate grew a
mere 0.5 percent in annual terms, marking the lowest growth
since August 2016.  urn:newsml:reuters.com:*:nS6N1YV051
    
    ** The benchmark KOSPI index ended down 11.43 points or 0.52
percent at 2,179.23, extending its loss to a third session.
    
    ** Shares of companies making masks and air purifiers
rallied as fine dust blankets South Korea, while the government
enforced emergency measures. Mask manufacturer Welcron Co Ltd
 065950.KQ  closed up nearly 5 percent.  urn:newsml:reuters.com:*:nL3N20S09V
    
    ** The won was quoted at 1,125.5 per dollar on the onshore
settlement platform  KRW=KFTC , 0.05 percent lower than its
previous close at 1,124.9.
    
    ** In offshore trading, the won  KRW=  was quoted at 1,125.1
per U.S. dollar, nearly unchanged from the previous day, while
in one-year non-deliverable forward trading its one-month
contract  KRW1MNDFOR=  was quoted at 1,124.0 per dollar.
    
    ** MSCI's broadest index of Asia-Pacific shares outside
Japan  .MIAPJ0000PUS  was down 0.16 percent, after U.S. stocks
ended its previous session with losses  MKTS/GLOB . Japanese
stocks  .N225  fell 0.44 percent.
    
    ** The KOSPI has risen 6.77 percent so far this year, and
gained 4.5 percent in the previous 30 trading sessions.
    
    ** The current price-to-earnings ratio is 12.10, dividend
yield is 1.28 percent and the market capitalisation is 1,242.04
trillion won.
    
    ** Foreigners were net sellers of 156.8 billion won worth of
shares on the main board.
    
    ** The trading volume during the session on the KOSPI index
 .KS11  was 308.80 million shares and, of the total traded
issues of 896, the number of advancing shares was 395.
    
    ** The won has lost 0.9 percent against the U.S dollar this
year.
    
    ** In money and debt markets, March futures on three-year
treasury bonds  KTBc1  fell 0.01 points to 109.14, while the
3-month Certificate of Deposit rate was quoted at 1.89 percent.
    
    ** The most liquid 3-year Korean treasury bond yield rose by
0.2 basis point to 1.836 percent, while the benchmark 10-year
yield fell by 0.1 basis point to 2.026 percent.

 (Reporting by Joori Roh; Editing by Gopakumar Warrier)
 ((joori.roh@thomsonreuters.com; +82 2 3704 5642; Reuters
Messaging: joori.roh.thomsonreuters.com@reuters.net))