\n<\/p>\n
\n\t\t\t\t\t\t\t\t\tEscalating geopolitical tensions amid the war in Iran are part of the reasons behind South Korea’s worst stock market crash in decades. \t\t\t\t\t\t\t\t<\/p>\n<\/p><\/div>\n
The benchmark market index in South Korea, KOSPI, saw a massive decline during the last trading session, dropping by more than 12%. Undoubtedly, this last drop represents a significant escalation from earlier market movements and highlights the increasing volatility in local equity markets amid the war in Iran.<\/p>\n
As of this writing on Wednesday, KOSPI is down by more than 12%. On the previous trading day, the benchmark index lost another 7%, marking what appears to be the worst performance since 2008.<\/p>\n
Both Kosdaq and KOSPI hit the threshold for an emergency circuit breaker on Korea\u2019s stock exchange, triggering 20-minute trading halts.<\/p>\n
Commenting on the matter in a report for CNBC was Lorraine Tan, Asia\u2019s director of equity research at Morningstar, who said<\/a>:<\/p>\n \u201cThe decline in the KOSPI can broadly be attributed to the single-name concentration that we see in the Korean markets. [\u2026] We believe that the drop in share prices is partly driven by profit taking after a strong runup amidst a risk-off environment but also implies growing concern that the AI datacenter adoption pace might slow down due to its significantly higher energy costs than regular data centers.\u201d<\/p>\n<\/blockquote>\n Additionally, analysts point out that South Korea\u2019s economy is highly sensitive to oil prices, making it even more vulnerable during the war in the Middle East<\/a>.<\/p>\n Markets in Japan are also under pressure. Japan\u2019s flagship market index, the Nikkei, is down over 5% over the last 48 hours, while the US Stock Market has been able to recover somewhat following statements from respective parties.<\/p>\n Crypto markets remain flat on the day. Bitcoin is up 0.6% in the past 24 hours, while the majority of altcoins are trading in the range between -1% and +1%. The total capitalization is around $2.3 trillion, down 0.1% on the day, according to CoinMarketCap.<\/p>\n LIMITED OFFER for CryptoPotato readers at Bybit: Use this link<\/a> to register and open a $500 FREE position on any coin!<\/b><\/p>\n<\/div>\n<\/div>\n\n
Global Tensions in Markets<\/h2>\n
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![<\/a>Source: TradingView<\/figcaption><\/figure>\nGlobal Tensions in Markets<\/h2>\nMarkets in Japan are also under pressure. Japan\u2019s flagship market index, the Nikkei, is down over 5% over the last 48 hours, while the US Stock Market has been able to recover somewhat following statements from respective parties.<\/p>\nCrypto markets remain flat on the day. Bitcoin is up 0.6% in the past 24 hours, while the majority of altcoins are trading in the range between -1% and +1%. The total capitalization is around $2.3 trillion, down 0.1% on the day, according to CoinMarketCap.<\/p>\nYou may also like:<\/h3>\n\nSPECIAL OFFER (Exclusive)<\/span><\/center>\nBinance Free $600 (CryptoPotato Exclusive): Use this link<\/a> to register a new account and receive $600 exclusive welcome offer on Binance<\/b> (full details<\/a>).<\/p>\nLIMITED OFFER for CryptoPotato readers at Bybit: Use this link<\/a> to register and open a $500 FREE position on any coin!<\/b><\/p>\n<\/div>\n<\/div>\n<\/p><\/div>\n\nSource link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":" Escalating geopolitical tensions amid the war in Iran are part of the reasons behind South Korea’s worst…\n","protected":false},"author":2,"featured_media":41707,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-41706","post","type-post","status-publish","format-standard","has-post-thumbnail","category-crypto","cs-entry","cs-video-wrap"],"_links":{"self":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/41706","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=41706"}],"version-history":[{"count":0,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/posts\/41706\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=\/wp\/v2\/media\/41707"}],"wp:attachment":[{"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=41706"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=41706"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/financialrush.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=41706"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}](\"https:\/\/cryptopotato.com\/wp-content\/uploads\/2026\/03\/KOSPI_2026-03-04_09-21-17.png\"){kind=link}