KOSPI · November 6, 2023
The day short selling was banned outright
+5.66%
single-day change vs previous close
Part of a longer stretch
Eight months of promising to lift company value
early in it · 2023-10-31 → 2024-07-11, +26.93% over the whole period
What happened that day?
- The KOSPI rose 5.66% on the day
- Over the weekend regulators announced a blanket ban on short selling, effective from this session
- Short selling means borrowing shares, selling them, and buying them back later if the price falls. It profits when prices go down
- Banning it forces everyone who had sold borrowed shares to buy them back. That buying arrived at once and pushed prices up sharply
- But a rise like this is not new demand — it is existing positions being closed. Such moves often do not last
- Much of this day's gain was indeed given back within weeks
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.