Foreigners remain net sellers of S. Korean stocks in January

Foreign investors remained net sellers of South Korean equities in January, extending their selling spree for a second straight month, the central bank said Wednesday.

Foreigners sold a net $1.07 billion worth of local stocks last month, compared with a net selling of $2.36 billion in December last year, according to the Bank of Korea (BOK).

Offshore investors turned net buyers of Korean bonds worth $1.32 billion last month, the BOK said.

Meanwhile, volatility in South Korea's currency slightly rose in January from the previous month, the central bank said.

The daily fluctuation of the dollar-won exchange rate came to an average of 3.8 won last month, up from 3.5 won a month earlier.

Situations for the country's foreign currency borrowing remained sound as the spread charged on local banks' short-term, as well as mid- and long-term, overseas borrowing declined, the BOK said.

The spread on credit default swaps for South Korea's five-year dollar-denominated currency stabilization bonds came in at 25 basis points in January, up from 21 basis points a month earlier. (Yonhap)