KOSDAQ Triggers Sell Sidecar as Index Plunges 6%

The KOSDAQ index triggered a sell sidecar after plunging more than 6%, marking the first such circuit breaker activation in approximately four months. The move follows a similar sidecar on the KOSPI earlier the same day, signaling a broader market rout.

The Korea Exchange announced that program sell orders were suspended for five minutes starting at 10:31 a.m. on the 4th due to fluctuations in KOSDAQ 150 futures prices and the spot index. The last KOSDAQ sell sidecar was triggered on November 5 last year.

At the time of activation, KOSDAQ 150 futures stood at 1,889.20, down 127.30 points or 6.31% from the previous day's close.

The KOSDAQ 150 spot index fell 126.06 points, or 6.27%, to 1,884.13.

A KOSDAQ sidecar is triggered when KOSDAQ 150 futures decline 6% or more from the base price while the KOSDAQ 150 index simultaneously falls 3% or more from the previous trading day's closing level, with both conditions persisting for at least one minute.