Seoul stocks likely to sink next week on global financial woes

SEOUL, Feb. 21 (Yonhap) -- South Korean stocks are expected to extend losses next week as global financial jitters weigh down investor sentiment, analysts said Saturday.

Rising concerns that some eastern European nations may default pummeled market
sentiment last week, as the upside momentum from a U.S. economic stimulus plan
began to subside.
"The market is likely to suffer from rising uncertainties next week as the U.S.,
who triggered the global credit crunch, made little progress towards improving
its troubled financial sector or other impacted areas," said Kim Joong-hyun, an
analyst at Goodmorning Shinhan Securities Co.
South Korea's benchmark Korea Composite Stock Price Index (KOSPI) closed this
week at 1,065.95, down 10.61 percent from the previous week after falling for
five consecutive days, led by massive foreign sell-offs.
Overseas investors have extended their net-selling over the past nine sessions,
unloading nearly 1.5 trillion won (US$995 million) worth of shares on the local
bourse.
"The key index is expected to drop down to the psychological support level at
1,000 points next week," said Lee Yun-hak, an analyst at Woori Investment &
Securities Co.