Trading on South Korea’s benchmark Kospi index was temporarily suspended Thursday morning after a steep decline triggered market volatility controls.
The halt underscored the intensity of the sell-off, which was driven primarily by heavy losses in the country’s major semiconductor manufacturers.
The Kospi slid approximately 6% in the session, marking a significant deterioration from recent levels.
The Kospi slid approximately 6% in the session, marking a significant deterioration from recent levels.
The sharp drop reflects a continuation of the volatility that has plagued the index, with memory chip stocks bearing the brunt of the selling pressure.
The decline follows a period of instability where the index had previously opened lower, weighed down by overnight losses in US technology shares and domestic profit-taking after a sharp rally.
Investors are navigating a challenging environment as the semiconductor sector, a cornerstone of the Korean economy, faces renewed pressure.