ID :
201251
Mon, 08/15/2011 - 05:38
Auther :
Shortlink :
https://oananews.org//node/201251
The shortlink copeid
Foreign investors withdraw massively from S. Korea's stock market
SEOUL (Yonhap) - Foreign investors have been pulling out money en mass from South Korea's securities market this month amid deepening worries over fiscal debt in Europe and the United States, the bourse operator here said Monday.
According to the Korea Exchange, foreigners have withdrawn an estimated 5.06 trillion won (US$4.69 billion) from the nation's stock market during the first two weeks of this month that ended on Friday.
The ratio of foreign stock ownership also dropped. Foreign investors held 324.81 trillion won in the main bourse as of Friday, accounting for 31.65 percent of the total market capitalization. The numbers are down from 394.15 trillion won and 32.16 percent tallied on Aug. 1.
South Korea's stock market experienced a roller coaster last week, stung by the first-ever downgrade of the U.S. credit rating and growing worries over the European debt crisis. Foreigners drove the volatility by massively reducing their exposure.
The capital pullout has been driven mostly by European investors, according to the nation's financial watchdog.
During the first 11 days of this month, about 2.74 trillion won worth of European capital left South Korea's stock market, compared with 951.3 billion won pulled out by American investors, the Financial Supervisory Service said.
Foreign capital also left in droves from the nation's safer debt market. During the cited period, a net outflow of foreign capital from the bond market here amounted to 2.07 trillion won. Of the total, 828.9 billion won was pulled out by French investors.
According to the Korea Exchange, foreigners have withdrawn an estimated 5.06 trillion won (US$4.69 billion) from the nation's stock market during the first two weeks of this month that ended on Friday.
The ratio of foreign stock ownership also dropped. Foreign investors held 324.81 trillion won in the main bourse as of Friday, accounting for 31.65 percent of the total market capitalization. The numbers are down from 394.15 trillion won and 32.16 percent tallied on Aug. 1.
South Korea's stock market experienced a roller coaster last week, stung by the first-ever downgrade of the U.S. credit rating and growing worries over the European debt crisis. Foreigners drove the volatility by massively reducing their exposure.
The capital pullout has been driven mostly by European investors, according to the nation's financial watchdog.
During the first 11 days of this month, about 2.74 trillion won worth of European capital left South Korea's stock market, compared with 951.3 billion won pulled out by American investors, the Financial Supervisory Service said.
Foreign capital also left in droves from the nation's safer debt market. During the cited period, a net outflow of foreign capital from the bond market here amounted to 2.07 trillion won. Of the total, 828.9 billion won was pulled out by French investors.
