Win Streak May Continue For South Korea Shares

(RTTNews) - The South Korea stock market has moved higher in two straight sessions, advancing almost 400 points or 4.7 percent along the way. The KOSPI now sits just above the 8,120-point plateau and it may see additional support on Monday.

The global forecast for the Asian markets is cautiously optimistic on hopes for an end to the conflict in the Middle East. The European and U.S. markets were up and the Asian bourses are expected to open in similar fashion.

The KOSPI finished sharply higher on Friday following gains among the financial shares, technology stocks and automobile producers. For the day, the index soared 359.67 points or 4.63 percent to finish at 8,123.62 after trading between 8,079.77 and 8,434.40. Volume was 490.3 million shares worth 51.1 trillion won. There were 753 gainers and 144 decliners. Among the actives, Shinhan Financial collected 2.79 percent, while KB Financial rallied 6.40 percent, Hana Financial vaulted 5.40 percent, Samsung Electronics spiked 7.86 percent, Samsung SDI jumped 8.12 percent, LG Electronics dipped 0.22 percent, SK Hynix climbed 2.33 percent, Naver surged 10.27 percent, LG Chem expanded 7.40 percent, Lotte Chemical rose 0.66 percent, SK Innovation strengthened 2.81 percent, POSCO Holdings improved 5.31 percent, SK Telecom added 3.00 percent, KEPCO gained 4.87 percent, Hyundai Mobis soared 5.38 percent, Hyundai Motor accelerated 1.68 percent and Kia Motors skyrocketed 6.92 percent.

The lead from Wall Street suggests mild upside as the major averages shook off early weakness on Friday before trending higher to finish firmly in the green.

The Dow jumped 353.51 points or 0.70 percent to finish at 51,202.26, while the NASDAQ added 79.18 points or 0.31 percent to close at 25,888.84 and the S&P 500 collected 37.16 points or 0.50 percent to end at 7,431.46.

Optimism about an end to the conflict in the Middle East contributed to continued strength on Wall Street, although traders seemed reluctant to make more significant moves amid conflicting comments from President Donald Trump.

Reports have indicated the U.S.-Iran memorandum of understanding calls for the Strait of Hormuz to be reopened immediately without tolls and for Iran to receive sanctions relief based on compliance.

Traders also kept an eye on shares of SpaceX (SPCX), with the rocket maker making its debut on the NASDAQ in the largest initial public offering (IPO) in history. SpaceX soared by 19.3 percent on the day.

Crude oil prices tumbled on Friday after Trump claimed that the Strait of Hormuz will reopen, resulting in waning supply disruption concerns. West Texas Intermediate crude for July delivery sank $2.86 or 3.26 percent at $84.85 per barrel.

Closer to home, South Korea is on Monday scheduled to release May numbers for imports, exports and trade balance this morning. In April, imports were up 20.8 percent on year and exports rose an annual 53.2 percent for a trade surplus of $26.95 billion.