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SKorean stocks fall sharply after Wall Street drop

SKorean stocks fall sharply after Wall Street drop

South Korean stocks declined sharply Thursday, falling for an eighth straight session after a big drop on Wall Street.
The won, meanwhile, fell to its lowest level in more than a decade.
The Korea Composite Stock Price Index declined 68.13 points, or 6.7 percent, to 948.69, it's lowest close since Oct. 27. The last time the Kospi dropped for eight days in a row was in March 2003.
The benchmark index has now fallen 50 percent this year as foreign investors have sold South Korean shares at a record pace. The Kospi had racked up double digit gains in four of five years through 2007.
Markets across Asia sank after the Dow Jones industrial average tumbled 5.1 percent to 7,997.28 Wednesday, its lowest level since March 2003. Wall Street U.S. stocks fell amid a pessimistic economic outlook from the Federal Reserve and concerns over the fate of troubled U.S. automakers.
South Korean banks and automakers dropped sharply Thursday.
The exchange's financial sector, which includes major banks and securities and insurance companies, declined 10.2 percent. KB Financial Group, the holding company for lender Kookmin Bank, plummeted 14.9 percent.
Hyundai Motor Co. fell 11.5 percent to 40,000 won ($27), while affiliate Kia Motors Corp. dropped 14.9 percent to 7,130 won ($5). Market bellwether Samsung Electronics Co. declined 3.4 percent to 423,000 won ($284).
In currency trading, the South Korean won dropped 3.4 percent to close at 1,497 to the U.S. dollar. The won has declined 37 percent against the greenback so far this year as foreign investors have fled the stock market.
The won last closed lower on March 13, 1998, when it finished at 1,521 to the dollar amid the Asian financial crisis.


Updated : 2021-10-21 22:13 GMT+08:00