KOSPI · October 5, 2011
The bottom of Europe's second wave
-5.83%
single-day change vs previous close
Part of a longer stretch
Six months after money reached Europe's banks
early in it · 2011-09-26 → 2012-04-03, +24.00% over the whole period
What happened that day?
- The KOSPI fell 5.83% on the day, close to the bottom of this phase
- It became clear Greece would miss its fiscal targets, and a Franco-Belgian bank was effectively being broken up
- Why does Korea get hit when European banks shake? Because those banks call in what they lent across Asia
- Money fleeing risk leaves emerging markets first, and Korea — being large and easy to sell out of — is often sold first of all
- The won weakened sharply in this period too. Falling shares and a weakening won pushed each other along
- Days later Germany and France agreed to recapitalise banks and the tide turned
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.