Seoul shares plunge 1.82 pct on China rout

SEOUL, Nov. 30 (Yonhap) -- South Korean stocks plunged 1.82 percent Monday as investors dumped techs, brokerages and other large caps, dismayed by extended losses in China, analysts said. The local currency fell against the U.S. dollar.

The benchmark Korea Composite Stock Price Index (KOSPI) lost 37.02 points to 1,991.97. Trade volume was moderate at 438.6 million shares worth 6.37 trillion won (US$5.5 billion), with losers outpacing gainers 623 to 204.

The drop is the sharpest since Sept. 23, when the index fell 1.89 percent.

"An extended setback in China prompted a massive sell-off, in particular, by foreign investors here which mostly affected large-cap issues," said Kim Hyung-rae, a KDB Daewoo Securities analyst. "Industrial output figures announced earlier in the day also fell short of market expectations, weighing on investor sentiment."

On Friday, the Shanghai Composite Index nosedived over 5 percent following the revelation of insider trading involving large-sized brokerage companies. The index fell over 3 percent at one point Monday.

Earlier in the day, the Seoul government announced worse-than-expected industrial output figures, citing slumping overseas shipments. The country's industrial output dropped 1.4 percent on-year in October.

Foreign investors led the overall market downswing, unloading around 540 billion won worth of shares in net value.

Most large-cap shares ended down, with tech and brokerages among marked decliners.

Samsung Electronics tumbled 3.24 percent to 1,284,000 won, while SK hynix fell 1.25 percent to 31,600 won and panel maker LG Display lost 1.17 percent to 25,400 won.

Brokerage issues also ended in negative terrain. KDB Daewoo Securities dropped 3.27 percent to 10,350 won, and Samsung Securities fell 2.85 percent to 44,250 won. Mirae Asset Securities plunged nearly 3 percent.

Auto and cosmetics makers also dropped sharply. Hyundai Motor retreated 2.32 percent to 147,500 won, while No. 1 cosmetics maker AmorePacific lost 2.18 percent to 403,500 won.

The local currency ended at 1,158.1 won against the greenback, down 5.1 won from Friday's close.

kokobj@yna.co.kr
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