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S. Korean Bourse Weakens over North's Nuclear Test

Written: 2017-09-04 16:33:22Updated: 2017-09-05 13:05:47

S. Korean Bourse Weakens over North's Nuclear Test

Anchor: Following North Korea's nuclear provocation on Sunday, South Korean stocks fell as investment flooded out from the local market.
Our Oh Soo-young reports.
 
Report: South Korea's main bourse and the value of the won retreated on Monday, unnerved by tensions on the Korean Peninsula following the North's sixth nuclear test.
 
The benchmark Korea Composite Stock Price Index(KOSPI) plunged one-point-19 percent to close at two-thousand-329-point-65 while the local currency weakened ten-point-two won against the U.S. dollar.
 
Investors offloaded their shares after North Korea claimed on Sunday to have successfully conducted a hydrogen bomb test. 
 
According to NH Investment and Securities, over the last nine nuclear provocations carried out by the North, the KOSPI fell by an average of one-point-nine percent and took roughly five days to recover. 
 
The KOSPI plunged by roughly three-point-five percent in the five days following North Korea's fifth nuclear test conducted in September last year.
 
To discuss the possible risks on South Korea's financial market and local economy, Finance Minister Kim Dong-yeon on Monday held an emergency meeting with Bank of Korea Governor Lee Ju-yeol and various other economy-related officials.
 
The finance minister warned that there may be negative ripple effects if geopolitical tensions continue following the international community's response to the nuclear test and if North Korea carries out additional provocations.
Oh Soo-young, KBS World Radio News.

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