Market Turmoil Following U.S. Tariff Policy

On April 9, the Korea Composite Stock Price Index (KOSPI) witnessed a dramatic fall, dipping below the 2,300 mark for the first time in over a year. This downturn was directly linked to the United States' implementation of its anticipated tariff policy against China, sending shockwaves through global markets.

The trading session started with a slight downward trend but quickly escalated into a sharp sell-off as news of the tariffs spread. By the close, the KOSPI had lost 40.53 points, or 1.74%, settling at 2,293.70.

KOSDAQ Not Spared

The KOSDAQ index also faced significant losses, closing at 643.39 after a 2.29% drop. This marked its first fall below the 650 threshold in more than a year, highlighting the widespread impact of the tariff news.

Foreign Investors React

Foreign investors were quick to respond, with net sales reaching approximately 1 trillion won in the securities market. This reaction underscores the global apprehension towards the escalating trade tensions between major economies.

Across Asia, Markets React

The ripple effects were felt across Asia, with Japan's Nikkei average and Taiwan's Taiex index experiencing significant drops. However, China's Shanghai Composite Index showed resilience, trading slightly higher by late afternoon.

The ongoing trade disputes between the U.S. and China continue to pose challenges for global markets, with South Korea's export-reliant economy particularly vulnerable to these shifts.