South Korean shares snap four-month rally on market reform doubts

South Korean shares on Friday snapped a four-month rally that was fuelled by hopes of market reforms under the new administration.
The benchmark KOSPI closed down 10.31 points, or 0.32%, at 3,186.01 on the day. For the month, it fell 1.83%.
The KOSPI, still up more than 30% this year and the best performer in the emerging Asia market, started a rally in April when former President Yoon Suk Yeol was removed from office after attempting to impose martial law in December, resolving political uncertainty.
Market reform pledges of Yoon's successor, Lee Jae Myung, pushed the KOSPI to its highest level in four years.
However, investor scepticism grew after his administration, in late July, proposed tax hikes on stock investments.
"The KOSPI will be able to reach a new high next month, after a range-bound trend this month, if the government reverses its policy," said Lee Jae-won, an analyst at Shinhan Securities.

Sumber : Reuters