Key insights
- The article clarifies that the KOSPI's circuit breakers were triggered as a catch-up reaction to the prior Friday's US equity sell-off, rather than an independent panic. It highlights the difference in trading hours between the Korean and US markets, explaining that the Korean market was pricing in US overnight movements after its own session had closed. This suggests no new, independent bearish signal originating from Korea impacting US markets.
Yes, the KOSPI hit circuit breakers but this is largely a catch-up move following Friday’s sell-off in the US .
The Korean market’s regular session runs from 09:00 to 15:30 KST (20:00 to 02:30 ET), with extended/off-hours trading from 07:30 to 18:00 KST (18:30 to 05:00 ET).
US equities trade from 09:30 to 16:00 ET in the regular session with extended trading running from 04:00 to 20:00 ET.
So today’s move is the Korean market pricing in what happened in the US after its own market had closed...