South Korean ETF Experiences Sharp Decline Amid Market Sell-Off, TR Korea Drops Over 7%

Stock News06-10

South Korean exchange-traded funds saw a significant downturn in afternoon trading, with the TR Korea ETF (02848) falling by more than 7% at one point. As of the latest update, the ETF is down 5.5%, trading at 1830 Hong Kong dollars, with a turnover of 3.3234 million Hong Kong dollars. This movement follows a sudden and sharp drop in the benchmark Korea Composite Stock Price Index (KOSPI), which was down over 6% by the latest report. In response, the Korea Exchange activated a circuit breaker mechanism, temporarily halting program trading on the KOSPI.

Major individual stocks were also hit hard, with SK Hynix Inc shares declining more than 9%, and Samsung Electronics Co Ltd shares dropping over 7%. The broader market's risk appetite has weakened, partly due to escalating geopolitical tensions involving Iran. The TR Korea ETF tracks the MSCI Korea 25/50 Index, which primarily includes core industry leaders such as Samsung, SK Hynix, Hyundai Motor Company, and Shinhan Financial Group Co Ltd.

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