S.Korean stocks plunge on worry about protectionist moves

SEOUL, March 23 (Xinhua) -- South Korean stocks plunged Friday on worry about the U.S. protectionist moves that could shrink overall trade across the globe.

The benchmark Korea Composite Stock Price Index (KOSPI) dropped 79.26 points, or 3.18 percent, to settle at 2,416.76. Trading volume stood at 452.5 million shares worth 7.8 trillion won (6.6 billion U.S. dollars).

The Friday drop was the steepest since Nov. 11, 2011 when concerns peaked among local investors over the European fiscal crisis. The KOSPI 200 volatility index, which reflects market fears, soared 24.45 percent.

The KOSPI extended initial losses throughout the trading day as the Trump administration decided to impose high import tariffs, leading to a sharp fall overnight in U.S. stocks.

Market watchers said that if protectionist moves strengthen, the global economy would slump again.

Foreign and institutional investors dumped local stocks, while individual investors picked up cheaper stocks.

Most large-cap shares lost ground. Market bellwether Samsung Electronics declined 4 percent, and memory chip giant SK Hynix tumbled 6.2 percent. Leading chemical firm LG Chem shed 3.8 percent, and the biggest steelmaker POSCO plunged 5.6 percent.

The tech-savvy KOSDAQ plummeted 41.94 points, or 4.81 percent, to close at 829.68, marking the biggest daily fall in almost 11 years.

South Korea's currency finished at 1,082.2 won against the U.S. dollar, down 0.4 won from the previous close.

Bond prices ended higher. Yields on the liquid three-year treasury notes fell 3.3 basis points to 2.223 percent, and the return on the 10-year government bonds dipped 4.6 basis points to 2.648 percent. Enditem