KOSPI · September 26, 2022
The plunge just before the bear-market bottom
-3.02%
single-day change vs previous close
Part of a longer stretch
Korea's 2021–22 rate-hike bear market
near the end of it · 2021-07-06 → 2022-09-30, -34.79% over the whole period
What happened that day?
- The KOSPI fell 3.02% on the day. The bottom of this bear market came four sessions later, on 30 September
- The won passed 1,430 to the dollar, its weakest since 2009
- The week before, the UK government had announced tax cuts with no funding plan, and the pound and gilts broke together. The shock spread worldwide
- When developed-market government bonds shake, money leaves risky assets all at once, and Korea — classed as an emerging market — was hit first
- A rising exchange rate makes foreign investors sell and leave. Falling shares and a weakening won pushed each other along
- The heaviest falls usually cluster near the bottom, because that is when whoever is left gives up
Sources
Every figure on this page is recomputed from the original daily closing prices and checked against them at build time. The account of what happened is written from the sources listed above.