The KOSPI fell sharply during the 2008 global financial crisis.
KOSPI is the Korea Composite Stock Price Index, the principal benchmark for South Korean equities. It tracks companies listed on the Korea Exchange and is heavily influenced by large exporters, technology firms, banks, and industrial companies.
During the global crisis, South Korean shares were hit by collapsing investor confidence, falling export demand, currency pressure, and the worldwide shortage of credit. The index’s decline reflected both international financial stress and South Korea’s close connection to global trade.
The KOSPI is often confused with the KOSDAQ, another Korean market index. KOSDAQ is associated particularly with smaller companies and technology-oriented firms, while KOSPI is the country’s main broad stock-market benchmark. The Nikkei 225, Hang Seng, and DAX are major indexes from Japan, Hong Kong, and Germany, respectively.