Tech Shares Likely To Power KOSPI

(RTTNews) - The South Korea stock market rebounded on Monday, one session after snapping the three-day winning streak in which it had risen more than 20 points or 0.8 percent. The KOSPI now sits just shy of the 2,610-point plateau and it may add to its winnings on Tuesday.

The global forecast for the Asian markets is upbeat on optimism over easing tariff concerns. The European and U.S. markets were solidly higher and the Asian bourses are expected to open in similar fashion.

The KOSPI finished sharply higher on Monday following gains from the financial shares, technology stocks and automobile producers.

For the day, the index jumped 30.06 points or 1.17 percent to finish at the daily high of 2,607.33 after moving as low as 2,585.60. Volume was 406.5 million shares worth 8.45 trillion won. There were 659 gainers and 240 decliners.

Among the actives, Shinhan Financial jumped 1.97 percent, while KB Financial rose 0.22 percent, Hana Financial collected 1.72 percent, Samsung Electronics surged 5.11 percent, Samsung SDI jumped 2.64 percent, LG Electronics strengthened 2.39 percent, SK Hynix spiked 2.58 percent, Naver fell 0.42 percent, LG Chem improved 2.43 percent, Lotte Chemical soared 5.34 percent, SK Innovation climbed 1.98 percent, POSCO Holdings gained 1.74 percent, SK Telecom lost 0.38 percent, KEPCO eased 0.19 percent, Hyundai Mobis added 2.15 percent, Hyundai Motor accelerated 3.11 percent and Kia Motors rallied 3.47 percent.

The lead from Wall Street is broadly positive as the major averages opened firmly higher on Monday and remained well in the green throughout the trading day.

The Dow surged 1,160.72 points or 2.81 percent to finish at 42,410.10, while the NASDAQ soared 779.43 points or 4.35 percent to close at 18,708.34 and the S&P 500 rallied 184.28 points or 3.26 percent to end at 5,844.19.

The rally on Wall Street came following news of a U.S.-China trade deal that drastically reduces the massive tariffs on each other's goods.

The White House said the agreement calls for the U.S. and China to each lower tariffs by 115 percent while retaining an additional 10 percent tariff. The U.S. will retain tariffs imposed in response to the fentanyl national emergency, resulting in an effective tariff rate on Chinese goods of 30 percent.

The White House said the 34 percent reciprocal tariffs on U.S. and Chinese goods will be suspended for 90 days beginning May 14. Both nations also agreed to establish a mechanism to continue important discussions about trade and economics, the White House said.

Crude oil showed another strong move to the upside on Monday, riding optimism about the outlook for demand after the U.S. and China reached their trade deal. West Texas Intermediate crude for June delivery jumped $0.93 or 1.5 percent to $61.95 a barrel.