The Korea Exchange has activated a sell-side circuit breaker on the KOSPI index, halting trading as the benchmark suffered a sharp decline.

The measure underscores the continued fragility of South Korean equities, which have been under sustained pressure from both foreign and domestic institutional investors.

This development follows a period of intense volatility, with the index turning lower late Monday morning after reversing earlier gains.

The activation of the circuit breaker is a direct response to the accelerating selling pressure that has characterized recent sessions.

Market participants are grappling with the implications of this intervention, which serves as a temporary pause in trading to allow for stabilization.

The move highlights the ongoing challenges facing the Korean market, where investor sentiment remains fragile amid broader regional uncertainties.