KOSPI · June 9, 1999
When the Daewoo rumours started
-5.87%
single-day change vs previous close
What happened that day?
- On 9 June 1999 the KOSPI fell 5.87% in a single day
- The index had risen a long way recovering from the currency crisis, so there was a lot to give back
- Rumours that one of the large conglomerates was running short of cash shook the whole financial sector
- Banks and investment trusts were holding that group's corporate bonds in bulk
- Ordinary savers had bought the funds containing those bonds, so the losses would land on individuals directly
- Two months later the group's insolvency became official and a larger decline followed
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.