Korean investors are increasingly trading outside regular market hours as overnight developments in the Iran war trigger sharp market swings.
Sell-side trading curbs were activated on program trades for both the Kospi and Kosdaq on Thursday afternoon amid a panic-sell spree from investors following U.S. President Donald Trump's threat to “obliterate” Iran.
Korea’s bourse operator issued a temporary curb on program selling for the benchmark Kospi on Monday morning after a sharp drop in Kospi 200 futures.
Oil prices have eclipsed $100 per barrel for the first time in more than three and a half years as the Iran war hinders production and shipping in the Middle East. The price for a barrel of Brent crude, the international standard, was at $101.19.
A temporary trading curb, known locally as a sidecar, has been activated for the sell-side for the Kospi on Monday morning as Korean stocks started sharply lower amid lingering volatility in the market sparked by the Middle East conflict.
The dollar-won exchange rate briefly surged past the psychologically important 1,500-won level in overnight trading amid the fallout from a military clash between the United States and Iran, heightening jitters in Korea’s foreign exchange market.
The average daily trading value on Korea's main stock market reached a record high of over 30 trillion won ($20.7 billion) in February, driven by a rally in semiconductor shares.
Korea’s stock exchange triggered a sell-side circuit breaker on the Kospi on Monday after a steep fall in index futures, as risk appetite weakened following U.S. President Donald Trump’s nomination of Kevin Warsh as the next Federal Reserve chair.
The Kospi set a new record as it closed at 4,457.52 points on Monday, up 147.89 points, or 3.43 percent, on optimism surrounding the semiconductor and nuclear-related industries.
The Korean central bank said on Friday that it has selected seven local lenders and five foreign banks with branches in the country as market makers for direct trading between the Korean won and the Chinese yuan next year.
Korea JoongAng Daily Sitemap
