An electronic signboard in the dealing room of Hana Bank in Seoul on Feb. 3, 2023, shows the benchmark Korea Composite Stock Price Index (KOSPI) having risen 11.52 points, or 0.47 percent, to close at 2,480.40. South Korean shares closed higher, as investors digested the U.S. Federal Reserve’s latest rate decision earlier this week. (Yonhap)
SEOUL, Feb. 9 (Korea Bizwire) — Foreign investors’ net selling of South Korean securities slowed sharply in January as they increased holdings of stocks amid expectations the U.S. Federal Reserve would slow monetary tightening and China’s economy would recover, central bank data showed Thursday.
The value of their combined investment in local securities — stocks and bonds — came to a net outflow of US$340 million last month, compared with a net outflow of $2.42 billion tallied a month earlier, according to the data from the Bank of Korea (BOK).
Foreigners dumped local bonds with their net selling in the market totaling $5.29 billion in January, larger than the previous month’s net selling of $2.73 billion.
They, however, scooped up local stocks. Their net purchase in the stock market came to $4.95 billion last month, a sharp increase from $310 million recorded in December.
“Expectations that the Fed will slow the pace of rate hikes and China’s economy will rebound led to an improvement in investors’ sentiment and an increase in money that flowed,” the BOK said.
(Yonhap)
