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S.Korean stock market sees 11.04 bln USD outflow of foreign fund in March

Xinhua News,SEOUL
2020-04-10 13:19

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SEOUL, April 10 (Xinhua) -- South Korea's stock market saw a net foreign fund outflow of 11.04 billion U.S. dollars in March on worry about the COVID-19 outbreak across the world, central bank data showed Friday.

It was the biggest monthly foreign capital exodus since the relevant data began to be compiled in January 2007, according to the Bank of Korea (BOK).

Foreign fund rushed out of the local stock market as the COVID-19 spread across the globe sparked concern about the global economic downturn.

In the domestic bond market, 3.66 billion dollars of foreign capital flowed in as the central bank slashed its target rate by half a percentage point to an all-time low of 0.75 percent in its emergency move last month.

Premium on credit default swap, which gauges credit risk for five-year government bonds, averaged 43 basis points in March, up 17 basis points from the previous month.

In 2008 when the global financial crisis hit the world economy, the premium posted an annual average of 44 basis points.

Volatility in the won/dollar exchange market was 1.12 percent in March, up from 0.43 percent in the previous month.
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