KOSPI · October 26, 2023
The autumn rates looked higher for longer
-2.71%
single-day change vs previous close
Part of a longer stretch
Three months of rates staying higher
near the end of it · 2023-08-01 → 2023-10-31, -14.59% over the whole period
What happened that day?
- The KOSPI fell 2.71% on the day, close to the bottom of this correction
- The US ten-year yield passed five percent, its highest in sixteen years
- What marked this rise is that the cause was bond supply rather than inflation. The US government needed to borrow more, so more bonds came to market
- Rising long-term yields pull money out of emerging markets. When you can earn more safely in America, there is less reason to take the risk
- Chinese property trouble and conflict in the Middle East overlapped at the same time
- 31 October was the bottom, and recovery began once it was confirmed the US central bank had stopped raising
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.