Seoul: Shares track Wall Street sell-off

[SEOUL] South Korean shares tumbled on Thursday, tracking an overnight Wall Street sell-off, due to concerns over excessive valuations, while US Federal Reserve's caution on slowing economic recovery also weighed on sentiment.

The benchmark Kospi closed down 53.51 points, or 1.71 per cent, at 3,069.05, after slumping as much as 2.4 per cent in early trade.

Most heavyweights slumped, leading benchmark declines, with chip giants Samsung Electronics and SK Hynix dropping 2.2 per cent and 4.3 per cent, respectively.

Adding to the stock rout worries, US Federal Reserve policymakers flagged a worrying slowdown in the pace of the economic recovery.

Foreign investors sold net US$1.40 billion worth of shares on the main board, while retail investors gobbled up net 1.94 trillion won(S$2.3 billion).

REUTERS