South Koreas stock market is expected to be largely range-bound next week given the lack of upside momentum, analysts said on Friday. The KOSPI index closed Friday at 1,055.03, down 10.0 points or 0.9 percent on the previous on Friday.
Analysts expect it to move in the 1,000-1,100 range next week. "A strong psychological support line is forming at 1,000, while the KOSPI failed to extend gains beyond 1,070 yesterday," Lee Kyoung-Min, an analyst at Woori Investment and Securities, told Dow Jones Newswires.
"So the index will likely to move within that range for the time being." Dongbu Securities analyst Lim Dong-Min agreed the index would stay below 1,100 points after a likely technical rebound early next week. "The market appears to have fully reflected concerns over the US auto industry this week," Lim told AFP. "But there is no strong momentum to push it above 1,100 points." However Lim said rising political tensions over North Koreas threats are not expected to have a great effect on sentiment. Pyongyang late Thursday warned South Korean airlines to stop using the airspace it controls.
Comments
Comments are closed.