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Stock Price Slump 29P Now 760s

Posted July. 11, 2002 22:05,   


The Korean composite stock index average has slumped in last five days and it is now in the 760s. This is due to slump in the U.S. stock market, increase in program arbitrage sales, international and domestic calamities and etc. The Hynix Semiconductors has slump within ten days and other top 40 corporate except SK have all slump in the stock market.

On July 11th, the Korean composite stock index average was 764.88, which was 29.83 points (3.75%) lower than previous day. The foreigners sold on spot worth 950 billion won, 1,176 future contracts worth 564 billion won and there were program arbitrage sales worth 3,213 billion won, which lead to slump in stock prices.

On the same day dawn, the NASDAQ average was 1,346.01, which was 35.11point (2.54%) lower than previous day. The Dow-Jones average was 8,813.50, which was 282.59 points (3.11%) lower than previous day. These are some of the main factors behind the slump in domestic stock market. The Won-Dollar exchange rate has recorded the annual lowest rate and DRAM price has declined. These also lead to slump in stock market.

KOSDAQ average was 65.62, which had 1.82-point (2.71%) slump. It had shown upturn till July 9th, when arbitrage sales flooded the market causing huge slump in the market.

Due to slump in the New York stock market, European and Asian markets also have slumped. Japanese Nikkei Stock average has dropped by 2.48% and Hong Kong’s Hang Seng average has also dropped by 2.38%. German DAX average, French CAC40 average, and British FT average have dropped 4.11%, 4.26% and 2.70% accordingly.

Chan-Sun Hong hcs@donga.com