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KOSPI Plunges During Afternoon Session; KOSDAQ Follows Suit
Finance · Investment Banks/Brokers · yonhap_finance · 2026-09-03
The KOSPI index experienced a sudden sharp decline in afternoon trading, falling to the 6,400 range as foreign and institutional investors offloaded shares.
What Happened
Market Volatility: The KOSPI index saw a dramatic reversal in afternoon trading, plummeting to the 6,400 level after initially showing gains. The market experienced an unusual spike in volatility, dropping nearly 4% within a short span of about ten minutes after 2:00 PM.
Investor Activity: Selling pressure intensified as both foreign and institutional investors net-sold significant portions of their holdings. With individuals also participating in the sell-off, the collective outflow has exerted substantial downward pressure on the index.
KOSDAQ Performance: The KOSDAQ index mirrored the bearish sentiment, retreating by over 2% to trade near the 780 level. The broad-based decline across both major indices reflects a significant deterioration in market sentiment.
Current Outlook: Investors are closely monitoring the market for signs of stabilization following the sudden intraday crash. The rapid shift in momentum has raised concerns regarding the sustainability of the current price levels and potential further corrections.