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KRX issues buy-side sidecar amid KOSDAQ's sharp increase

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By Yonhap
  • Published KST
The benchmark KOSPI and KOSDAQ indices are displayed at Hana Bank's dealing room in Seoul, Friday. Yonhap

The benchmark KOSPI and KOSDAQ indices are displayed at Hana Bank's dealing room in Seoul, Friday. Yonhap

Korea's bourse operator activated a buy-side sidecar for the secondary KOSDAQ market on Friday as the stock index surged.

Program trading in KOSDAQ-listed shares was suspended for five minutes at 12:55 p.m., according to the Korea Exchange (KRX).

The previous day, the KOSDAQ market saw a sell-side sidecar and a circuit breaker triggered in succession during trading, with the index plunging more than 7 percent to close sharply lower.

But the index rebounded 5.27 percent to 800.90 as of Friday afternoon, reclaiming the 800-point level just a day later.

A buy-side sidecar is triggered when KOSDAQ 150 futures rise at least 6 percent from the benchmark price and the KOSDAQ 150 index gains at least 3 percent from its previous trading day's closing level, with both conditions sustained for one minute.