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South Korean Stock Market Plunges with Foreign Investors Disposing of Shares
KOSPI Falls below 2,100
South Korean Stock Market Plunges with Foreign Investors Disposing of Shares
  • By Yoon Young-sil
  • November 22, 2019, 08:34
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KOSPI dipped below 2,100 points by falling more than 1 percent on Nov. 21. 

KOSPI dipped below 2,100 points by falling more than 1 percent for two days in a row and KOSDAQ fell over 2 percent on Nov. 21, when the won-dollar exchange rate closed at 1,178.1 won per U.S. dollar after soaring eight won in just one day.

This was because of the ongoing trade disputes between the United States and China, arguments surrounding defense cost sharing between Seoul and Washington, and Hong Kong-related tensions escalating between Washington and Beijing. Besides, foreign investors sold a large number of shares with the General Security of Military Information Agreement (GSOMIA) of South Korea and Japan scheduled to be terminated on Nov. 22.

On Nov. 21, KOSPI closed at 2,096.60 points, losing 1.35 percent in one day and falling below 2,100 points in 15 trading days. Foreigners’ net selling amounted to 573 billion won, the largest since August 6. Their net selling continued for 11 trading days in a row and increased to 1,928 billion won.

KOSDAQ plummeted 2.14 percent to 635.99 points. On the other hand, Nikkei 225 and Shanghai Composite edged down 0.48 percent to 23,038.58 and 0.25 percent to 2,903.64, respectively.