Foreign investors scoop up local stocks for fourth consecutive month
Published: 13 Mar. 2024, 18:32
-
- JIN MIN-JI
- [email protected]
![[YONHAP]](https://koreajoongangdaily.joins.com/data/photo/2024/03/13/dfa1da42-1c26-4c65-8025-0ccd39aa7e05.jpg)
[YONHAP]
Offshore investors bought a net US$5.59 billion worth of local stocks last month, following $2.64 billion worth of purchases in November, $2.52 billion in December and $2.51 billion the previous month, according to the data from the Bank of Korea (BOK).
The February purchases also marked the largest since September 2013, when the comparable figure was $7.66 billion.
The central bank said foreigners' net stock purchases came amid the outlook for a rebound in the chipmaking sector and measures to boost undervalued stocks despite woes over a delay in restrictive monetary stances in major economies.
Foreigners bought a net $2.52 billion worth of local bonds last month, following a net purchase of $1.89 billion a month earlier, the data showed.
Meanwhile, the premium on credit default swaps (CDS) for Korea's five-year dollar-denominated currency stabilization bonds amounted to 32 basis points in February, up from 29 basis points the previous month. A basis point is 0.01 percentage point.
The CDS premium reflects the cost of hedging credit risks on corporate or sovereign debt. A rise implies a drop in the credit spreads of sovereign bonds and higher borrowing costs.
Yonhap
with the Korea JoongAng Daily
To write comments, please log in to one of the accounts.
Standards Board Policy (0/250자)