KOSPI · January 22, 1999

The first correction of the recovery

-5.41%

single-day change vs previous close

Part of a longer stretch

Korea's post-IMF rebound

near the end of it · 1998-06-16 → 1999-04-27, +183.56% over the whole period

What happened that day?

On 22 January 1999 the KOSPI fell 5.41% in a single day
The index had risen a long way since the June 1998 low, so profit-taking was due
In January Brazil gave up defending its currency and the real collapsed — a sign the emerging market crisis was not over
After Thailand in 1997 and Russia in 1998, Brazil shook emerging markets generally once more
Korea, though, already had restructuring under way and reserves recovering, so the shock did not last
Three months later, on 27 April, the old high returned

Sources

1998–1999 Brazilian financial crisis
1997 Asian financial crisis

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.