South Korea’s benchmark Korea Composite Stock Price Index(KOSPI) shed three percent and fell below two-thousand-490 on Monday amid fears over U.S. reciprocal tariffs, concern over economic stagnation in the U.S., and caution over the reversal of a short selling ban at home.

The KOSPI dipped 76-point-86 points, or three percent, to close Monday’s trading at two-thousand-481-point-12.

The index dipped below two-thousand-490 for the first time since February 4.

The main bourse, which opened Monday at two-thousand-513-point-44, plummeted to two-thousand-479-point-46 at one point during the day.

Net sales among foreign investors reached one-point-58 trillion won, or around one-point-one billion U.S. dollars, while individual investors purchased a net 790 billion won worth of stocks and institutional investors picked up 667 billion won worth.

Analysts cited uncertainties surrounding the U.S. reciprocal tariffs set to be announced Wednesday, anxiety over U.S. stagflation, and expectations of short-term volatility after authorities in Seoul lifted the short selling ban imposed in 2023.

The tech-heavy KOSDAQ lost 20-point-91 points, or three-point-01 percent, to end Monday at 672-point-85.

Monday’s Seoul closing spot rate at 3:30 p.m. stood at one-thousand-472-point-nine won against the greenback, down six-point-four won since the previous session.

It marked the highest won-dollar rate since March 2009 in the aftermath of the global financial crisis.