Choo Kyung-ho, floor leader of the People Power Party, said on the 6th regarding the stock market crash, "The decline is excessive," but also stated, "A fundamental review of the stock market issues is necessary."
At the floor strategy meeting held at the National Assembly that day, Choo said, "Recently, our stock market has fallen sharply for two consecutive days, and yesterday afternoon, the circuit breaker, which temporarily halted trading on the KOSPI and KOSDAQ, was triggered for the first time in 4 years and 5 months," adding, "As a result, the psychological fear among more than ten million retail investors has greatly increased."
He continued, "The recent increase in stock market volatility is not a problem unique to our country. Ahead of the major countries' monetary policy transitions, concerns about a recession in the United States have been significantly highlighted, causing stock markets worldwide, especially in Asia, to experience large declines in common."
Choo said, "However, in our case, considering the economic and business conditions, growth capacity, and the previous stock price increases, the decline appears to be excessive," and added, "The government should maintain a strong sense of crisis to prevent investor anxiety from spreading, closely monitor the market situation, and be fully prepared to take swift market safety measures if necessary."
He also expressed the opinion that this crash should serve as an opportunity to examine the fundamental problems of the stock market.
He said, "Our stock market is perceived by investors as a market that rises a little when it goes up but falls a lot when it goes down," adding, "As a result, many investors are moving to overseas markets such as the United States." Choo stated, "The government is currently making efforts to upgrade the stock market through programs such as corporate value-up initiatives and improvements to the short-selling system, but these efforts need to be further strengthened to clearly analyze what structural problems are deteriorating the upward momentum of our stock market and what the fundamental causes are for its vulnerability to external shocks, and to promptly devise countermeasures. The ruling People Power Party will also not spare necessary support, including legislation for government market stabilization measures and fundamental institutional improvements."
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