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Kospi falls further as large-cap shares plummet

Oct 26,2018
Nearly all top shares by market capitalization fell as the benchmark Kospi dropped 34.28 points or 1.6 percent compared to Wednesday to close at 2,063.30.

Trading volume was moderate at 339 million shares worth 6.69 trillion won ($5.88 billion).

Electronic shares declined 3.08 percent on average, and the construction industry dropped 1.04 percent. The medical precision sector shed an average of 1.77 percent, and machinery shares saw losses of 2.24 percent.

Samsung Electronics started the day at its lowest point this year at 40,550 won and closed at 41,000 won, falling 3.64 percent from the previous session. The semiconductor giant has been on a downward spiral, extending losses for six consecutive sessions.

Carmakers plunged as Hyundai Motor reported disappointing third quarter earnings, with the industry leader nosediving 5.98 percent to 110,000 won, and its sister company Kia Motors falling 5.92 percent to 27,000 won.

Portal operator Naver also posted poor earnings results Thursday, as its third quarter operating profit declined 29.0 percent from last year. The portal leader plummeted 6.30 percent to end at 119,000 won. Kakao, operator of a rival portal and the country’s largest messaging app, fell 5.04 percent to 94,200 won.

Financial shares also closed down.

Leading banking company KB Financial Group fell 1.54 percent to 51,300 won, and Shinhan Financial Group declined 2.44 percent to 44,050 won.

Meanwhile, Celltrion rebounded from heavy losses in the previous two sessions, rising 4.88 percent to 236,500 won.

Foreigners and individuals each dumped a net 364 billion won and 281 billion won worth of local stocks, while institutions picked up a net 631 billion won.

The secondary Kosdaq also ended down, falling 12.46 points, or 1.78 percent, to close at 686.84. The tech and bio-heavy index was weighed down by a 6.61 percent decline in the Philadelphia Semiconductor Index.

While foreign investors turned around on Thursday, the market fall was impacted by retail investors, who were net sellers.

The Korean won ended at 1,138.00 won, up 5.70 won, against the greenback from the last trading session’s close.

Bond prices ended higher. The yield on three-year bonds fell 2.5 basis points to 1.98 percent, and the return on 10-year bonds declined 4.0 basis points to 2.27 percent.

BY CHAE YUN-HWAN [chae.yunhwan@joongang.co.kr]