With most global markets closed on Monday in celebration of the New Year, the open markets in South Korea and India found little to celebrate, trading slightly lower or flat on Monday. The South Korean benchmark traded at 0.1 percent lower, at 2026.16. The country has been facing significant political turmoil in recent weeks as President Park Geun-hye has been impeached by parliament and several high-ranking political officials have been arrested in conjunction with the investigation. Though Park maintains his innocence South Koreans spent the weekend protesting against his leadership and calling for him to resign. South Korea has also been plagued by avian flu which has required widespread discarding of poultry in the country.
South Korea’s trade reports showed that the country’s exports increased for the second consecutive month, up 6.4 percent year on year, despite a decrease in exports to the U.S. in December.
Indian Markets Also Start Weak
Indian stock prices were in negative territory by the middle of Monday’s trading day, with the Sensex index down 0.39 percent and the Nifty 50 down 0.44 percent. The rupee eased against the dollar, trading at 68.02. Traders are eager to see how the country’s demonetization program will impact the country’s economy, as it could have positive long-term results despite short-term pressure on corporate earnings and overall economic growth.
Markets in Australia, Japan, China, Hong Kong, Europe and the United States are closed on Monday.