The market rout shows no sign of ending... KOSPI and KOSDAQ hit simultaneous sell-side sidecars again [Summary]

[Financial News] The domestic stock market, which triggered a circuit breaker after its second-worst plunge on record the previous day, failed to rebound in early trading on the 29th and is extending its losses. KOSPI (Korea Composite Stock Price Index), Samsung Electronics, and SK hynix all turned lower after opening higher, and sell-side sidecars were activated in both the KOSPI and KOSDAQ markets during the session. With market stabilization measures being triggered for a second straight day after the circuit breaker the day before, investor sentiment has yet to recover. As of 11:05 a.m. on the 29th, KOSPI was trading at 5,717.16, down 306.50 points, or 5.09%, from the previous session. It opened at 6,089.11 in early trading, but gave back all of its gains and widened its decline to more than 5%.
On the Korea Exchange Main Board, 170 stocks were up, 17 were unchanged, and 727 were down, with decliners overwhelmingly outnumbering gainers. Trading value stood at 17.4996 trillion won.
Weakness in large-cap semiconductor stocks also continued. SK hynix was trading at 1,419,000 won, down 8.45%, while Samsung Electronics was at 211,000 won, down 4.09%. After plunging 16.02% the previous day, SK hynix fell more than 8% again on the day, bringing its two-day decline to more than 23%.
Losses widened further in KOSDAQ. At the same time, the KOSDAQ Index was at 667.78, down 38.07 points, or 5.39%. It fell as low as 666.07 intraday, setting a new year-to-date low.
In the KOSDAQ market, 211 stocks were up, 39 were unchanged, and 1,480 were down, showing a sharp increase in decliners.
The domestic market suffered a historic rout the previous day. KOSPI closed at 6,023.66, down 732.09 points, or 10.84%, marking its second-largest drop on record, while the intraday decline widened to 11.29%. KOSDAQ also plunged 7.72%, briefly breaking below the 700 level during the session. At the time, sell-side sidecars were triggered in both markets early in the day, followed by a circuit breaker mechanism, and the KOSPI 200 Volatility Index, often called Korea's fear gauge, surged to 83.43.
The securities industry says volatility is widening as the shock from the previous day's plunge continues, with foreign investors selling semiconductor stocks, liquidation of leveraged products, and a flight from risk assets all adding to the pressure. In particular, market anxiety has shown little sign of easing as sell-side sidecars were triggered in both markets again on the 29th, following the circuit breaker mechanism the day before.

[email protected] Choi Doo-sun Reporter