South Korean shares dropped again on May 13, after a slight rebound in the previous session, amid a worsening trade dispute between the world’s two largest economies, who may now be sitting on the verge of an all-out trade war. The local currency fell sharply to the lowest level in more than two years against the US dollar.
The benchmark Kospi plunged 29.03 points, or 1.38 percent, to close at 2,079.01, the lowest since January 14, 2019, when the comparable figure was 2,064.52 points.
Trading volume was moderate at about 494 million shares worth 4.5 trillion won ($3.47 billion). Losers outpaced gainers 701 to 143.
The local currency closed at 1,187.50 won against the US dollar, plunging 10.50 won from the previous session’s close and marking its lowest point in over two years.
Institutional investors offloaded nearly 130 billion won worth of shares, while foreign investors sold a net 138 billion won. Individuals scooped up a net 258 billion won.
By Ram Garikipati and newswires (email@example.com