Seoul: Volatility jumped and price control mechanisms were activated at a much higher level on the first day of after-hours trading on the Korea Exchange (KRX), according to the bourse operator Tuesday. The KRX launched the after-hours trading from 4 p.m. to 8 p.m. Monday in an effort to enhance global competitiveness and offer expanded trading opportunities to investors.

According to Yonhap News Agency, a total of 72.24 million shares worth 1.8 trillion won (US$1.3 billion) were traded during the four-hour session. This is in comparison to approximately 905 million shares valued at 25.8 trillion won that were traded during Monday's regular trading hours. During the after-hours trading, volatility interruption mechanisms were activated 1,637 times, a significant increase compared to the 400 times these mechanisms were triggered during the regular trading session.

Market analysts pointed out that the surge in volatility could be attributed to a lack of liquidity, as retail investors were given the opportunity to buy or sell a wide range of stocks in real time. Most stocks listed on the Korea Composite Stock Price Index and the KOSDAQ markets were available for trading during the after-hours session.

However, the Korea Exchange has imposed restrictions on trading exchange-traded funds and exchange-traded notes during the four-hour after-hours session. This decision was made due to concerns about potential market volatility, as stated by the KRX.