SEOUL, May 25 (Reuters) - Seoul shares may open lower on
Wednesday after falls on Wall Street amid persisting concerns
about an economic slowdown and eurozone debt issues, analysts
said.
'The market will probably continue its downward momentum today. The broader mood and investor sentiment is not in good shape right now as global economic and European debt worries linger,' said Kim Young-june, a market analyst at SK Securities.
Perceptions that the U.S. economy is struggling to regain momentum after a weak first quarter were reinforced by a Richmond Fed survey showing manufacturing in the central Atlantic region stalled in May after expanding for seven months.
'But we still see firm support for the market at 2,000 points, and buying will take place below that level,' Kim added.
Crude refiners like SK Innovation may be lifted on a rally in oil prices, while transporters like Korean Air Line could come under pressure.
The Korea Composite Stock Price Index ended up 0.29 percent or 6.05 points at 2,061.76 points on Tuesday, near its
120
day moving average of around 2,060 points.
------------------MARKET SNAP SHOT @ 22:04 GMT----------------
INSTRUMENT LAST PCT CHG NET CHG S&P 500 1,316.28 -0.08% -1.090
USD/JPY 81.99 0.02% 0.020
10-YR US TSY YLD 3.116 -
-0.013 SPOT GOLD $1,525.49 -0.02% -0.260 US CRUDE $99.25 -0.34% -0.350 DOW JONES 12356.21 -0.20% -25.05
ASIA ADRS 133.93 0.65% 0.87 MARKET SUMMARY *Wall St retreats again on growth concerns *Bonds gain slightly after strong 2-year auction *Euro rises vs dollar but Greece saps momentum *Oil rises 2 pct as Goldman boosts price forecast
STOCKS TO WATCH
YOOSUNG ENTERPRISE, HYUNDAI MOTOR, KIA MOTORS
South Korean police moved in to break up a week-long strike at Yoosung, a key supplier to Hyundai Motor, on Tuesday as a shortage of parts threatened to crimp production of the automaker's new hybrid Sonata sedan and other models.
SAMSUNG ENGINEERING
A consortium including Samsung Engineering has won a $780 million contract to build production facilities at ExxonMobil's Cepu oil block, Indonesian watchdog BPMigas said on Tuesday.
HANDSET MAKERS
Microsoft Corp launched an update of its Windows phone software on Tuesday, hoping a host of new features will help it close the gap on smartphone leaders Google Inc and Apple Inc.
(Reporting by Jungyoun Park; Editing by Jonathan Hopfner) Keywords: MARKETS KOREA STOCKS/ (jungyoun.park@reuters.com)(+82 2 3704 5643)(Reuters)(Messaging:jungyoun.park.reuters.com@reuters.net)( f you have a query or comment on this story, send an email to: news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
'The market will probably continue its downward momentum today. The broader mood and investor sentiment is not in good shape right now as global economic and European debt worries linger,' said Kim Young-june, a market analyst at SK Securities.
Perceptions that the U.S. economy is struggling to regain momentum after a weak first quarter were reinforced by a Richmond Fed survey showing manufacturing in the central Atlantic region stalled in May after expanding for seven months.
'But we still see firm support for the market at 2,000 points, and buying will take place below that level,' Kim added.
Crude refiners like SK Innovation may be lifted on a rally in oil prices, while transporters like Korean Air Line could come under pressure.
The Korea Composite Stock Price Index ended up 0.29 percent or 6.05 points at 2,061.76 points on Tuesday, near its
120
day moving average of around 2,060 points.
------------------MARKET SNAP SHOT @ 22:04 GMT----------------
INSTRUMENT LAST PCT CHG NET CHG S&P 500 1,316.28 -0.08% -1.090
USD/JPY 81.99 0.02% 0.020
10-YR US TSY YLD 3.116 -
-0.013 SPOT GOLD $1,525.49 -0.02% -0.260 US CRUDE $99.25 -0.34% -0.350 DOW JONES 12356.21 -0.20% -25.05
ASIA ADRS 133.93 0.65% 0.87 MARKET SUMMARY *Wall St retreats again on growth concerns *Bonds gain slightly after strong 2-year auction *Euro rises vs dollar but Greece saps momentum *Oil rises 2 pct as Goldman boosts price forecast
STOCKS TO WATCH
YOOSUNG ENTERPRISE, HYUNDAI MOTOR, KIA MOTORS
South Korean police moved in to break up a week-long strike at Yoosung, a key supplier to Hyundai Motor, on Tuesday as a shortage of parts threatened to crimp production of the automaker's new hybrid Sonata sedan and other models.
SAMSUNG ENGINEERING
A consortium including Samsung Engineering has won a $780 million contract to build production facilities at ExxonMobil's Cepu oil block, Indonesian watchdog BPMigas said on Tuesday.
HANDSET MAKERS
Microsoft Corp launched an update of its Windows phone software on Tuesday, hoping a host of new features will help it close the gap on smartphone leaders Google Inc and Apple Inc.
(Reporting by Jungyoun Park; Editing by Jonathan Hopfner) Keywords: MARKETS KOREA STOCKS/ (jungyoun.park@reuters.com)(+82 2 3704 5643)(Reuters)(Messaging:jungyoun.park.reuters.com@reuters.net)( f you have a query or comment on this story, send an email to: news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.