Summary
- The KOSDAQ index’s sharp drop triggered a temporary suspension of program sell quotes (a sell sidecar) for the first time in about a month.
- At the time of activation, KOSDAQ 150 futures prices were 1,818.4, down 116.40 points (6.01%) from the previous session’s close.
- The KOSDAQ sidecar, which is triggered when the simultaneous criteria are met, was implemented as the KOSDAQ 150 index fell 124.54 points (6.44%).
As the KOSDAQ index plunged, a temporary suspension of program sell orders (the “sidecar”) was triggered on the 2nd for the first time in about a month.
According to the Korea Exchange, at around 2:34:32 p.m. that day, the effectiveness of program sell quotes was suspended for five minutes due to fluctuations in KOSDAQ 150 futures prices and the spot index. This marked the first activation of a KOSDAQ sell sidecar since the 9th of last month, about a month ago.
At the time of activation, the KOSDAQ 150 futures price stood at 1,818.4, down 116.40 points (6.01%) from the previous session’s close. The KOSDAQ 150 spot index was 1,808.31, down 124.54 points (6.44%).
A KOSDAQ sidecar is triggered when the KOSDAQ 150 futures price drops by 6% or more from the reference price and the KOSDAQ 150 index falls by 3% or more from the final figure of the previous trading day, with both conditions persisting simultaneously for one minute.
By Ko Jeong-sam, Hankyung.com reporter jsk@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
