South Korean stocks nosedived more than 8 percent shortly after opening Monday, triggering a 20-minute trading halt amid concerns over tech shares and rising inflation.
The benchmark Korea Composite Stock Price Index (KOSPI) plunged 683.13 points, or 8.37 percent, to 7,477.46 as of 9:30 a.m. The Korea Exchange activated a circuit breaker for the KOSPI about three minutes after opening, halting trading for 20 minutes. A sell-side sidecar was also issued for the KOSDAQ market, suspending trading for five minutes. The weak start followed sharp losses on Wall Street last week. The Dow Jones Industrial Average closed 1.35 percent lower on Friday, while the S&P 500 dipped 2.64 percent and the Nasdaq composite slid 4.18 percent. Major U.S. chip shares led the declines. In Seoul, Samsung Electronics fell 8.51 percent and SK hynix dropped 7.29 percent. SK Square declined 9.78 percent and LG Electronics fell 12.54 percent. The Korean won traded at 1,554.6 won against the U.S. dollar, down 15.5 won from the previous session and at its lowest level since March 2009.
