Yesterday’s rally justified; stocks finding bottom
Primary metal shares rallied 2.66% yesterday, outperforming the KOSPI by 1.64%p. Major Asian steelmakers fared especially well: POSCO (PKX) advanced 3.63%, Hyundai Steel (HYNSY) climbed 3.69% and Donkuk Steel (001230.KS, BUY) rose 3.29%; Japan’s JFE (JFEEF) and China’s Baowu Steel Group also gained 4.19% and 4.72%, respectively.
The direct contributors to the stock rally are first and foremost: 1) expectations that the US-China trade tensions will ease and US steel shares’ strong price performance; but improving fundamentals also helped as: 2) China’s blast