Seoul: Shares fall as Powell comments drive recession fears

[SEOUL] South Korean shares fell on Thursday, tracking Wall Street losses, as the US Federal Reserve chairman warned of the worst recession since World War Two, compounding growth concerns driven by a second wave of coronavirus cases.

The Seoul stock market's main KOSPI closed 15.46 points lower, or 0.80 per cent, at 1,924.96.

Wall Street's three major indexes fell on Wednesday after US Fed Chair Jerome Powell flagged extended economic weakness and called for more fiscal spending to stem the fallout from the pandemic. However, he dismissed bets that the central bank might push interest rates into negative territory.

Foreigners were net sellers of US$440.96 million worth of shares on the main board.

The trading volume during the session in the KOSPI index was 744.64 million shares. Of the total traded issues of 896, the number of advancing shares was 213.

REUTERS