The South Korean stock market experienced an uptick on Thursday, marking a recovery after a brief pause in its recent winning streak that had seen a gain of nearly 50 points or 2 percent. The KOSPI index now hovers just below the 2,600-point threshold, though there's potential for a downward shift on Friday.
Globally, the forecast for Asian markets is muted due to dwindling optimism concerning interest rate prospects. European and U.S. markets ended slightly in the red, and it is anticipated that Asian markets will mirror this trend.
On Thursday, the KOSPI edged higher, supported by gains in financial stocks and mixed outcomes among industrial, technology, and chemical sectors. The index rose by 4.80 points, equivalent to a 0.19 percent increase, settling at 2,599.16.
In specific stock movements, Shinhan Financial surged 2.53 percent, KB Financial increased by 0.56 percent, and Hana Financial saw a modest uptick of 0.16 percent. Conversely, Samsung Electronics dropped 2.32 percent, and LG Electronics declined by 0.82 percent. SK Hynix soared with a 4.89 percent rise, while Naver also posted an impressive gain of 3.73 percent.
Other notable performances included a retreat by LG Chem (down 1.25 percent), a rise in Lotte Chemical (up 1.33 percent), S-Oil's significant drop of 1.90 percent, and SK Innovation's 3.89 percent increase. POSCO saw a 1.20 percent decline, SK Telecom inched up by 1.10 percent, and Hyundai Mobis spiked 2.07 percent. Kia Motors advanced by 1.20 percent, while Hyundai Motor remained unchanged.
In the U.S., the trend was towards slight consolidation on Wall Street, with major indices opening slightly lower and maintaining that level throughout Thursday. The Dow Jones Industrial Average fell by 57.88 points, or 0.14 percent, closing at 42,454.12. The NASDAQ slipped 9.57 points, or 0.05 percent, to 18,282.05, and the S&P 500 decreased by 11.99 points, or 0.21 percent, to end at 5,780.05.
This mild downturn was influenced by the release of a key Labor Department report indicating that U.S. consumer prices in September rose more than anticipated, casting doubt on the likelihood of the Federal Reserve further reducing interest rates aggressively.
Additional negative sentiment stemmed from a separate Labor Department report revealing that first-time claims for U.S. unemployment benefits increased significantly more than expected last week.
Oil prices, however, saw a significant rise on Thursday amid concerns over rising tensions in the Middle East, which overshadowed uncertainties regarding demand. West Texas Intermediate Crude oil futures for November rose by $2.61, or approximately 3.56 percent, reaching $75.85 per barrel.
Closer to the domestic front, the Bank of Korea is set to conclude its monetary policy meeting later this morning, with expectations that it will maintain the benchmark lending rate at 3.50 percent.