The main bourse benchmark Kospi closed at 2,028.01, down 1.3 percent, while the second-tier benchmark Kosdaq slid 0.6 percent to close at 665.74.
|(The Korea Exchange)|
Market bellwether Samsung Electronics, whose market cap accounts for about one-fifth of all Kospi-listed companies, dropped 1.2 percent.
This came in line with plunges on Wall Street on fears stemming from US President Donald Trump’s reported discussions on dismissing US Federal Reserve Chairman Jerome Powell, as well as an ongoing partial US government shutdown.
Han Ji-young, an analyst at Cape Investment & Securities, advised stock investors to adopt a wait-and-see stance until early January in a note to investors Wednesday, saying US woes have “severely dampened” investor sentiment.
“Until recently in December, emerging markets’ losses have been comparatively milder than those of developed markets,” Han wrote. “But now we should not single out the possibility that emerging markets are ahead of a bearish turn.”
By Son Ji-hyoung