KOSPI plunges below 740

The KOSPI plummeted by more than 45 points to below the 740 mark while the KOSDAQ also fell to under 120 points. The drop in share prices is attributed to the unstable financial market and domestic economic worries together with the fall in U.S. stock prices.

On the 24th, the KOSPI fell 45.17 points to close at 737.89, its lowest level since May 31st (731.88 pts). The KOSDAQ market also dropped by 7.22 points to post 116.91 for the day, dipping under the 120 line.

In the KSE, foreigners sold off Samsung Electronics and other semiconductor stocks, ending the day with a net selling of 30 billion won. Individual investors also joined in the selling frenzy as the psychological barrier of 770 was shattered early on, net selling more than 10 billion won in shares.

Institutional investors posted a net purchasing of 34.3 billion won.

103 stocks saw their prices rise (daily limit high of 13) while 756 experienced falls (daily limit low of 31). Large cap stocks performed especially poorly, further aggravating the situation. Among the top 20 stocks in terms of market capitalization, only Kookmin Bank and CHB saw slight rises in their share prices.

Foreigners and institutional investors net purchased on the KOSDAQ market but proved to be no match for the flood of sell orders (12 billion won) from individual investors.