KOSPI, Won Continue Downward Spiral

The Korea Composite Stock Price Index has nosedived below 2,400 points as foreign investors dump Korean stocks and the won is now at a 13-year low.

The KOSPI plummeted another 49.9 points or 2.04 percent on Monday to 2,391.03 points, dropping below 2,400 points for the first time in a year and seven months. The junior Kosdaq also tumbled 28.77 points or 3.6 percent to close at 769.92, the lowest in almost two years.

Foreign investors sold W665.4 billion worth of stocks while individual and institutional investors snapped up W182.6 billion and W445.6 billion worth.

Samsung Electronics shares closed at W58,700, down another 1.84 percent from a day earlier and below W60,000 for the second day running. Foreign investors alone offloaded W259.3 billion worth of Samsung stocks.

The won fell another W5.1 against the U.S. dollar to close at W1,292.40 as many foreigners wanted hard cash. That was the lowest since July 2009, when the global financial crisis was at its peak.

The KOPSI opened slightly higher on Tuesday, but the downward spiral is expected to continue for a while amid soaring inflationary pressure.