strengthened - The Latremie Post

Rally May Stall For China Stock Market

The China stock market has finished higher in three straight sessions, gaining nearly 60 points, or 1.8 percent, along the way. The Shanghai Composite now sits just above the 3,460-point plateau, although it may run out of steam on Friday.

The global outlook for Asian markets appears soft, with oil and technology shares likely to lead the decline. European markets were mixed and flat, while U.S. bourses ended lower. As a result, Asian markets are expected to show a balanced performance, splitting the difference.

On Thursday, the Shanghai Composite Index (SCI) finished modestly higher, buoyed by gains in financial shares and property stocks. Resource companies showed mixed results. The index gained 29.01 points, or 0.85 percent, closing at 3,461.50 after trading between 3,425.98 and 3,464.12. Meanwhile, the Shenzhen Composite Index rose 21.98 points, or 1.05 percent, to close at 2,112.90.

Among the active stocks, Industrial and Commercial Bank of China jumped 1.74 percent, Bank of China improved 1.36 percent, and China Construction Bank strengthened 1.22 percent. China Merchants Bank gained 1.31 percent, Agricultural Bank of China rose 1.21 percent, and China Life Insurance surged 2.06 percent.

In the resources sector, Jiangxi Copper advanced 0.83 percent, while Aluminum Corp of China (Chalco) lost 0.38 percent. Yankuang Energy fell 0.33 percent. China Petroleum and Chemical (Sinopec) rose 0.31 percent, Huaneng Power edged up 0.28 percent, and China Shenhua Energy declined 0.62 percent.

Property stocks also saw gains, with Gemdale rallying 1.28 percent, Poly Developments gaining 0.49 percent, and China Vanke adding 0.46 percent. PetroChina remained unchanged.

Wall Street provided a negative lead as major averages opened mixed on Thursday but quickly dropped, ending the day near session lows. The Dow Jones Industrial Average fell 234.44 points, or 0.64 percent, to close at 43,914.12. The NASDAQ lost 132.05 points, or 0.66 percent, finishing at 19,769.84, while the S&P 500 declined 32.94 points, or 0.54 percent, to end at 6,051.25.

The weakness on Wall Street followed profit-taking after a strong performance on Wednesday, when the tech-heavy NASDAQ closed above 20,000 for the first time ever. Negative sentiment also arose from a Labor Department report showing that U.S. producer prices increased more than expected in November.

While the Federal Reserve is still widely expected to lower interest rates next week, the recent data has raised concerns about the pace of rate cuts early next year.

In energy markets, oil futures closed lower Thursday after three days of gains. This followed the International Energy Agency’s forecast of excess oil supply next year. West Texas Intermediate (WTI) crude oil futures for January delivery fell $0.27, or 0.4 percent, to $70.02 a barrel.

*The views and opinions expressed herein are those of the author and do not necessarily reflect those of Nasdaq, Inc.*
https://www.nasdaq.com/articles/rally-may-stall-china-stock-market

KOSPI May Run Out Of Steam On Friday

The South Korea stock market has advanced for three consecutive sessions, gaining nearly 35 points or 1.2% during this period. The KOSPI now stands just above the 2,890-point level, although the rally may face resistance on Friday.

Global forecasts for the Asian markets suggest profit-taking, especially within the technology sectors. While European markets showed gains, U.S. bourses closed lower, and Asian markets are expected to follow the latter trend.

On Thursday, the KOSPI finished modestly higher, supported by gains in financial shares, technology stocks, and industrials. The index climbed 23.36 points, or 0.81%, to close at 2,891.35. Trading volume was robust, with 453 million shares exchanged, valued at 14.4 trillion won. There were 438 gainers compared to 414 decliners.

Among the most active stocks, Shinhan Financial jumped 1.96%, while KB Financial and SK Telecom both rallied 2.15%. Hana Financial rose 0.49%. In the technology sector, Samsung Electronics slipped 0.23%, but Samsung SDI surged 4.42%. LG Electronics gained 0.63%, and SK Hynix advanced 0.84%. Naver declined 0.79%.

In the chemicals and energy sectors, LG Chem soared 2.95%, Lotte Chemical strengthened 1.32%, and S-Oil added 0.60%. Conversely, SK Innovation dropped 1.11%. Metals giant POSCO skyrocketed 6.24%, while KEPCO increased 0.81%. Automotive stocks also showed strength: Hyundai Mobis improved 0.86%, Hyundai Motor climbed 1.46%, and Kia Motors rose 0.25%.

Wall Street’s lead was mostly negative on Thursday as major U.S. averages opened lower. The Dow inched slightly into positive territory, while the S&P 500 and NASDAQ retreated from record highs. The Dow rose by 32.39 points (0.08%) to finish at 39,753.75. However, the NASDAQ plunged 364.04 points (1.95%) to close at 18,283.41, and the S&P 500 fell 49.37 points (0.88%) to end at 5,584.54.

Early optimism regarding interest rate prospects helped Wall Street open strong, but enthusiasm waned as traders appeared to have already priced in a rate cut by the Federal Reserve in September. The subsequent sell-off resulted from investors taking profits after recent market advances, notably in leading tech stocks such as AI favorite Nvidia (NVDA), which led the retreat.

Despite the pullback, the Federal Reserve is still widely expected to lower interest rates in September. This outlook was reinforced by a Labor Department report indicating that prices in the U.S. unexpectedly edged slightly lower in June.

Oil futures settled higher on Thursday, buoyed by hopes for an interest rate cut following the encouraging inflation data. However, West Texas Intermediate (WTI) crude oil futures for August ended down $0.52 at $82.62 per barrel.

*The views and opinions expressed herein are those of the author and do not necessarily reflect the views of Nasdaq, Inc.*
https://www.nasdaq.com/articles/kospi-may-run-out-steam-friday

Tropical Storm Priscilla forms in the Pacific Ocean off the coast of Mexico

MIAMI (AP) — Tropical Storm Priscilla formed in the Pacific Ocean off the coast of Mexico on Saturday, according to the Miami-based National Hurricane Center.

Priscilla is a large tropical storm, with tropical storm-force winds extending as far as 140 miles (220 kilometers) from its center. The storm’s maximum sustained winds reached 45 mph (75 kph). At the time of the report, Priscilla was located about 285 miles (455 kilometers) southwest of Manzanillo and was moving northwest at 3 mph (6 kph).

A tropical storm watch has been issued for part of the southwestern coast of Mexico, from Punta San Telmo to Punta Mita. Tropical storm conditions are possible in this area on Sunday and Monday.

Priscilla is forecast to reach hurricane status by Sunday night or early Monday and is expected to move generally parallel to the coast over the coming days.

Meanwhile, another tropical storm in the Pacific, Octave, is meandering far from shore with no landfall forecasted. There are no coastal watches or warnings in effect for Octave. The storm’s maximum sustained winds have strengthened slightly to 65 mph (100 kph).

The Associated Press.
https://ca.news.yahoo.com/tropical-storm-priscilla-forms-pacific-211418782.html