KOSPI · October 2, 2007
The 2007 Fed-cut relief rally
+22.96%
trough back to the old high
29 trading days · 2007-08-17 → 2007-10-02
this undid the slide that began 2007-07-25
What happened that day?
- From the 17 August 2007 low to 2 October the KOSPI rose 22.96% — 29 trading days
- It undid the first subprime shock
- The Fed cut by more than expected in September and the market took comfort
- At the time the dominant view was that the mortgage problem was confined to part of the US and would be cleaned up soon
- Emerging market growth led by China still looked strong, and there was hope that Asia was a separate story
- The old high returned on 2 October. A month later the crisis decline began — this was the last high before it
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.