The U.S. recession has triggered the sideline by
The U.S. recession has triggered the sideline by plunging the KOSPI and KOSDAQ indexes in the local stock market. This is the first time in four years and four months. Sidecar is a system that temporarily suspends trading to cushion the market's shock when stock prices soar in the stock market.
The U.S. economic downturn is having a significant impact on the global economy, especially on export-oriented economies like South Korea. When the U.S. economy falls into a recession, exports fall, which immediately leads to worsening performance for domestic companies. This causes investors to feel anxious and sell stocks in large numbers, causing stock prices to plummet.
The plunge in the KOSPI and KOSDAQ indexes shows that such anxiety has reached its peak. In particular, the KOSPI has fallen by the most in four years and four months, sending a huge shock to market participants. This has further highlighted the uncertainty in the domestic economy and amplified concerns about future economic prospects.
The government and financial authorities are closely monitoring the situation and working on measures to stabilize the market. Investors are advised to remain cool and make investment decisions from a long-term perspective. Meanwhile, experts say whether the U.S. economy will recover and the effects of domestic economic policies will be important factors that will determine the future direction of the market.
The sharp drop in the KOSPI and KOSDAQ indexes is an event that reveals the structural weakness of the Korean economy, suggesting that various measures are needed for more sustainable and stable economic growth.