The South Korean government issued a joint statement saying that it will temporarily exempt securities companies from holding collateral worth at least 140% of their margin loans. The purpose of this move is to prevent forced sell-offs from increasing stock market fluctuations. The exemption period will last for three months starting November 9. Authorities agree that the Korean stock market is overreacting to external factors, including uncertainty about artificial intelligence policies and weak global investment sentiment. The authorities will monitor domestic and foreign stock markets and capital flows in real time with the highest level of vigilance, and respond positively to prevent further market turbulence. If market fluctuations increase further, the government will prepare additional measures to stabilize the market. South Korea's finance minister said that given South Korea's stable economic fundamentals, we should be wary of excessive pessimism caused by market anxiety.

Zhitongcaijing · 4d ago
The South Korean government issued a joint statement saying that it will temporarily exempt securities companies from holding collateral worth at least 140% of their margin loans. The purpose of this move is to prevent forced sell-offs from increasing stock market fluctuations. The exemption period will last for three months starting November 9. Authorities agree that the Korean stock market is overreacting to external factors, including uncertainty about artificial intelligence policies and weak global investment sentiment. The authorities will monitor domestic and foreign stock markets and capital flows in real time with the highest level of vigilance, and respond positively to prevent further market turbulence. If market fluctuations increase further, the government will prepare additional measures to stabilize the market. South Korea's finance minister said that given South Korea's stable economic fundamentals, we should be wary of excessive pessimism caused by market anxiety.