South Korea’s benchmark KOSPI index crashed nearly 10% on Tuesday, triggering circuit breakers as a massive sell-off engulfed the technology sector.
The benchmark extended its decline from record highs, marking one of the sharpest single-day drops in the market's recent history.
The collapse was driven by heavy losses in tech stocks, which led the decline as investors rushed to exit positions.
The severity of the drop forced trading halts, highlighting the fragility of the rally that had previously pushed the index to all-time highs.
This abrupt reversal underscores the volatility facing Asian equities, where momentum-driven rallies can unwind rapidly when sentiment shifts.
The sell-off raises questions about the sustainability of recent gains in the region’s tech-heavy markets.