KRX activates buy-side sidecar for KOSPI on sharp rise

Financial data is displayed on a screen at a dealing room of Hana Bank in Seoul, Thursday. Yonhap

Korea's bourse operator on Thursday activated a buy-side sidecar for the benchmark Korea Composite Stock Price Index (KOSPI) as the stock index sharply rose.

Program trading for the KOSPI-listed shares was suspended for five minutes at 9:58 a.m., according to the Korea Exchange (KRX).

After opening over 3 percent higher, the KOSPI gained 325.34 points, or 5.03 percent, to 6,790.39 as of 9:59 a.m.

The index rebounded after plunging nearly 6 percent the previous session, tracking overnight gains on Wall Street as U.S. Treasury yields eased following plans for increased government debt buybacks.

A buy-side sidecar is triggered when the KOSPI 200 Futures Index rises 5 percent or more for at least one minute.