SEOUL: South Korean stocks ended 0.62 percent lower on Wednesday as investor worries deepened over the fallout of Middle East Respiratory Syndrome (MERS) on the country’s economy, analysts said. The local currency gained ground against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) fell 12.71 points to 2,051.32. Trading volume was moderate at 422.26 million shares worth 6.15 trillion won (US$5.5 billion), with decliners beating gainers 437 to 368.
“The market got a boost earlier from the MSCI’s decision to hold off on the inclusion of Chinese stocks in its index, but it turned south as concerns over MERS and other uncertainties kept investors on the sidelines,” said Kim Hyung-ryol, an analyst at Kyobo Securities.
Major shares started higher as investor sentiment improved after U.S index provider MSCI said earlier in the day that it will hold off including some China-listed shares in its emerging market index. The inclusion could have sparked an outflow of money from here to China.
South Korea is gripped by worries over the wider spread of MERS that has claimed nine lives as of Wednesday, since its first outbreak last month. Over 100 people have been confirmed to be infected with the virus.
