Korean Stocks Near Correction as Higher Yields Hurt Risk Demand

South Korean stocks fell as rising bond yields put further pressure on the world’s best-performing equity market.

The Kospi tumbled as much as 4.7% on Monday shortly after the opening bell, extending its two-day drop to more than 10% and briefly entering correction territory. The Korea Exchange halted Kospi program selling after a sharp slump in futures. The benchmark has since clawed back some of those early losses and is down less than 2%.