Overbought KOPSI Called Higher Again On Tuesday

(RTTNews) - The South Korea stock market has moved sharply higher in back-to-back sessions, accelerating more than 240 points or 5.3 percent in that span. Now at a fresh record closing high, the KOSPI sits just above the 4,450-point plateau and it's tipped to open in the green again on Tuesday.

The global forecast for the Asian markets is positive, with oil companies expected to lead the way - although profit-taking may creep in late in the day. The European and U.S. markets were up and the Asian bourses figure to at least open in similar fashion.

The KOSPI finished sharply higher on Monday following gains from the financial shares, technology stocks and automobile producers.

For the day, the index surged 147.89 points or 3.43 percent to finish at the daily high of 4,457.52 after trading as low as 4,381.93. Volume was 509.64 million shares worth 22.5 trillion won. There were 447 decliners and 436 gainers.

Among the actives, Shinhan Financial rallied 3.26 percent, while KB Financial collected 2.84 percent, Hana Financial added 0.75 percent, Samsung Electronics skyrocketed 7.47 percent, Samsung SDI soared 4.76 percent, LG Electronics rose 0.31 percent, SK Hynix vaulted 2.81 percent, Naver climbed 1.01 percent, LG Chem improved 1.06 percent, Lotte Chemical expanded 2.07 percent, SK Innovation increased 2.80 percent, POSCO Holdings spiked 1.68 percent, SK Telecom lost 0.56 percent, KEPCO surged 7.20 percent, Hyundai Mobis gained 0.81 percent, Hyundai Motor accelerated 2.01 percent and Kia Motors jumped 1.66 percent.

The lead from Wall Street is firm as the major averages opened higher on Monday and remained in the green throughout the trading day.

The Dow rallied 594.79 points or 1.23 percent to finish at 48,977.18, while the NASDAQ added 160.19 points or 0.69 percent to end at 23,395.82 and the S&P 500 gained 43.58 points or 0.64 percent to close at 6,902.05.

The jump by the Dow reflected a spike by shares of Chevron (CVX), with the energy giant soaring by 5.1 percent. Chevron, which is one of the leading private oil companies in Venezuela, surged following a U.S. attack on the country that led to the capture of President Nicolás Maduro.

The price of crude oil also shot up in reaction to the news, contributing to substantial strength among oil service stocks. The Philadelphia Oil Service Index spiked by 5.5 percent amid optimism about potential gains from rebuilding Venezuela's oil infrastructure.

On the U.S. economic front, the Institute for Supply Management said its reading on U.S. manufacturing activity unexpectedly decreased in December.

Crude oil prices surged on Monday after OPEC reaffirmed its plans to pause production increases for early 2026, thereby allaying oversupply concerns. West Texas Intermediate crude for February delivery was up $58.31 or 0.99 percent at $1.73 per barrel.