WhyItDropped

KOSPI · January 9, 2023

The day China reopened its borders

+2.63%

single-day change vs previous close

Part of a longer stretch

Seven months betting rates had peaked

early in it · 2023-01-03 → 2023-08-01, +20.21% over the whole period

What happened that day?

  • The KOSPI rose 2.63% on the day
  • China reopened its borders after three years and sharply relaxed its epidemic controls
  • China reopening reaches Korea by two routes: intermediate-goods exports rise, and tourists come back
  • Cosmetics, duty free, travel and airlines — the sectors that had leaned on Chinese visitors — rose hard
  • At the same time US inflation was turning and hopes were building that rate rises were ending
  • 3 January had been the bottom of this phase, and the advance that began there ran to August

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.