Seoul stocks extend gains to third session on hopes of recovery

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South Korean stocks finished a tad higher Wednesday despite escalating tension between the United States and China, as investors sought to scoop up bargains amid growing hopes of an economic recovery. AsiaNewsNetwork

“The US has in fact declared plans to take sanctions should China vote on the national security law for Hong Kong. The US-China dispute may further escalate toward the end of this week,” said NH Investment & Securities analyst Noh Dong-kil.

South Korea’s exports had dropped for 14 consecutive months since December 2018 amid the prolonged trade dispute between the world’s two largest economies that was put on pause after they signed the trade agreement in January.“The market seems to be taking a breather, considering that the hopes of economic reopening and China’s stimulus measures have already been projected in the KOSPI in the previous session,” Kiwoom Securities analyst Seo Sang-young said.

Leading pharmaceutical firm Samsung BioLogics tumbled 3.26 percent to 624,000 won, and Celltrion slipped 0.7 percent to 213,000 won.

 

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