KOSPI Rebounds After Sharp Drop... Buy-Side Sidecar Triggered (Update)

On the 3rd, at the dealing room of Hana Bank headquarters in Jung-gu, Seoul, an employee is monitoring the stock market and exchange rates as the KOSPI started with a 3% rise, reclaiming the 5000 level just one day after a sharp plunge. On that day, the KOSPI index opened at 5114.81, up 165.14 points (3.34%) from the previous session. February 3, 2026 Photo by Jo Yongjun

The KOSPI surged on February 3, triggering a buy-side sidecar.

The Korea Exchange announced that at 9:26 a.m. that day, a buy-side sidecar (suspension of program trading buy orders) was activated in the KOSPI market.

The Exchange explained that the buy-side sidecar was triggered because the KOSPI 200 futures (nearest-month contract) rose more than 5% compared to the previous day and maintained that level for one minute. As a result, program trading buy orders were suspended for five minutes from the time of activation, and the sidecar was automatically lifted after five minutes.

The previous day, the KOSPI had plunged more than 5%, which triggered a sell-side sidecar. The market plummeted after Kevin Warsh, a former Federal Reserve Governor known for his hawkish (monetary tightening) stance, was nominated as the next Chair of the Federal Reserve, but managed to rebound on this day.