The Korea Development Bank (KDB) is selling part of its stake in Hanwha Ocean, as the price of Hanwha Ocean stocks has more than tripled, driven by a boom in the shipbuilding industry.
Short selling amounted to 6.4 trillion won in the first week after a ban was lifted.
The Kospi closed below the 2,500 threshold at 2,481.12 with the resumption of short selling and rising trade war concerns.
Short selling will fully resume in Korea’s stock market on Monday, ending a 17-month suspension that began on Nov. 5, 2023, to curb naked short selling.
The Financial Services Commission reaffirmed that the ban on short selling will be lifted at the end of the month as the agency convened a meeting to assess preparations.
A demonstration of illegal short selling is conducted at the Korea Exchange in Yeouido, western Seoul, on March 19.
Korea's short selling ban ends March 31, potentially increasing foreign investment but causing short-term market volatility.
Korea's financial watchdog chief advocates for expanding short selling on more stocks as the country resumes the practice next month.
Data from the Bank of Korea showed that foreign investors sold a net $1.78 billion worth of local stocks and bonds, continuing the outflow trend for a fifth straight month.
Korea Exchange completed the development of a centralized detection system for short-selling transactions aimed at preventing any illegal trading by institutional investors, the country’s bourse operator said Sunday.
Korea JoongAng Daily Sitemap
