Korean dairy soars, then sours, on claim yoghurt curbs Covid

A South Korean dairy producer briefly surged the most on record before erasing the gain, following a claim that one of its yoghurts can help suppress the coronavirus.

Namyang Dairy Products Co's research chief told a symposium on Tuesday that its Bulgaris yogurt could inhibit the coronavirus that causes Covid-19 by 77.8 per cent, as well as eliminate up to 99.999 per cent of the H1N1 influenza virus strain, Yonhap reported. The research was conducted at Chungnam National University College of Veterinary Medicine.

That sent shares in Namyang up by 29 per cent, the most on record dating back to at least 1978. The firm, which has a market cap of $232 million, saw its shares later erase those gains to fall 5.1 per cent.

A Namyang Dairy spokesman said the firm planned to begin animal testing before clinical trials. The Korea Disease Control and Prevention Agency urged caution over the news. The yoghurt's effect on the coronavirus was difficult to evaluate as the research did not test it on people infected with virus, the agency said in a statement.