Renewed U.S.-Iran geopolitical tensions drove foreign and institutional selling, while retail investors were net buyers of nearly KRW 2.7 trillion, Korean media reported.
South Korea’s KOSPI briefly dropped below 7,000 during trading, setting off the market’s seventh circuit breaker of the year. Korean media said the move came as renewed U.S.-Iran geopolitical tensions sparked broad selling by foreign and institutional investors. Foreigners were net sellers of KRW 2.23 trillion and institutions sold KRW 570 billion, while retail investors moved the other way, recording net purchases of nearly KRW 2.7 trillion. The episode underscores how geopolitical shocks can quickly ripple through equity markets, prompting volatility controls designed to slow abrupt price moves and stabilize trading.