Seoul:The Korea Exchange (KRX) activated a sell-side sidecar for the Korea Composite Stock Price Index (KOSPI) on Thursday after a sharp decline in the stock index.
According to Yonhap News Agency, program trading for KOSPI-listed shares was suspended for five minutes at 908 a.m. as part of this measure.
The KOSPI opened 5.59 percent lower and continued to fall, losing 303.39 points, or 5.05 percent, to reach 5,705.42 by 911 a.m. This decline was largely driven by investors selling off semiconductor shares, including major players like Samsung Electronics and SK hynix, due to ongoing concerns about artificial intelligence trade and inflation rates in the United States.
The sell-side sidecar is implemented when the KOSPI 200 Futures Index experiences a fall of 5 percent or more for at least one minute.