Seoul shares close at yearly-low on global uncertainties
SEOUL, Oct. 23 (Yonhap) -- South Korean shares nosedived on Tuesday as investor sentiment was hurt by policy uncertainties from Europe and the United States, analysts said. The Korean won closed lower against the U.S. dollar.
The benchmark Korea Composite Stock Price Index plunged 55.61 points, or 2.57 percent to close at 2,106.10. Trading volume was moderate at 363 million shares worth 5.85 trillion won (US$5.14 billion), with losers far beating gainers 809 to 67.
During one point of the session, the figure even dropped as low as to 2,094.69. This was the first time the main index fell below the 2,100-mark since it reached 2,082.31 on March 10, 2017.
Analysts said Seoul shares lost ground sharply as multiple uncertainties induced investors to take a wait-and-see stance, including the discord between the European Union and Italy over budget issues and the rising possibility that the United States may impose sanctions against Saudi Arabia.
"U.S. President Donald Trump also announced a new tax-cut plan. With some claiming that the move is aimed at bracing for the prolonged trade dispute, the news also weighed down on the market," said Seo Sang-young, an analyst at Kiwoom Securities.
Foreigners offloaded a net 420 billion won, with institutions selling 242 billion won in shares more than they bought. Individuals scooped up a net 643 billion won.
Major shares mostly lost ground in the trading session.
Market behemoth Samsung Electronics plunged 1.15 percent to 43,050 won and No. 2 chipmaker SK hynix slid 1.29 percent to 69,100 won. Samsung SDI dropped 4.58 percent to 239,500 won and LG Electronics lost 3.2 percent to close at 63,600 won.
Top carmaker Hyundai Motors fell 1.27 percent to 116,500 won and its auto-parts arm, Hyundai Mobis, decreased 4.09 percent to 187,500 won. Kia Motors slipped 3.74 percent to 28,350 won.
Pharmaceutical firms were bearish, with Celltrion plunging 8.19 percent to 246,500 won and Samsung BioLogics closing 6.6 percent lower at 417,500 won. Hanmi Pharmaceutical lost 5.47 percent, ending at 414,500 won.
The South Korean currency closed at 1,137.60 won against the U.S. dollar, down 9.1 won from the previous session.
