WhyItDropped

KOSPI · May 26, 2000

The Rebound That Failed

-6.13%

single-day change vs previous close

Part of a longer stretch

Korea's dot-com hangover

early in it · 2000-01-04 → 2001-09-17, -55.74% over the whole period

What happened that day?

  • 26 May 2000 — KOSPI fell 6.13% while attempting to recover from April's collapse
  • Domestic factors compounded it: bad assets at some financial institutions became an issue again, unsettling funding markets
  • Particularly lethal for internet companies
  • Most were unprofitable and needed continuous new funding just to keep operating
  • When funding markets closed, the businesses themselves stopped
  • Fell 43.32% from peak

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.