Workers at Hana Bank in central Seoul celebrate the benchmark Korea Composite Stock Price Index breaching the landmark 8,000 points on Friday. It later plunged, closing down more than six percent. Photo by Yonhap
South Korean stocks plummeted more than 6 percent Friday, after briefly topping the historic 8,000-point landmark, as investors moved to cash out tech and other market heavyweights after a record-breaking rally amid lingering uncertainties over the Middle East crisis.
The benchmark Korea Composite Stock Price Index (KOSPI) plunged 488.23 points, or 6.12 percent, to close at 7,493.18, after rising as high as 8,046.78.
The KOSPI had started marginally lower but turned higher shortly after opening, soaring past the 8,000 plateau, taking a cue from overnight gains on Wall Street boosted by a sharp rise in artificial intelligence (AI)-related shares and a positive evaluation of the U.S.-China summit.
But shortly after the achievement, it started crashing, falling as low as 7,371.68, triggering a sell-side sidecar at around 1:28 p.m. It marked the first time the main bourse operator has issued a sell-side sidecar since April 2.
