Share prices plunge 30 points; index closes at 579.16

Share prices slumped almost 30 points to close below the 580 mark. The Kosdaq index also broke the 80-point level, continuing a three-day downturn. Monday¡¯s composite stock index fell 29.32 points or 4.82% to 579.16. The Kosdaq index dropped 4.69 points or 5.67% to close at 77.97. Investor sentiment shrank due to the influence of the Korea Real Estate Trust¡¯s bankruptcy. The U.S. Nasdaq¡¯s more than 4% drop last weekend is said to be one of the major factors in the slump. Foreigners spurred the index decline through persistent large net sell offs of spot & futures.

Their net selling amounted to 127.3 billion won on 3,095 contracts.

Daewoo Securities¡¯ investment strategy team said the day¡¯s market results gave a clearer indication that the January rally is finished. The company analyzed that the future stock price index might drop to the 550-point level. The trading volume at the Kosdaq market surpassed 441 million shares, outpacing the volume of the Korea Stock Exchange (351 million shares).