South Korean Shares Slide on Oil Surge

2026-03-06 01:40 By Erika Ordonez 1 min. read

The benchmark KOSPI fell more than 2% to around 5,450 on Friday, retreating after a sharp rebound in the previous session as rising oil prices and weaker global risk sentiment weighed on the market.

Escalating conflict involving Iran heightened fears of potential disruptions to energy supplies in the Middle East, sending crude prices sharply higher.

The spike in oil prices raised concerns about renewed inflation pressures, particularly for energy-importing economies such as South Korea.

Domestically, authorities also raised an energy supply alert as the government moved to monitor fuel markets more closely amid the recent surge in global oil prices.

Additionally, losses on Wall Street added to the cautious mood across Asian markets, with major US indexes falling more than 1% overnight as investors shifted away from riskier assets.

Heavyweight stocks declined, including Samsung Electronics (-3.9%) and SK hynix (-4.4%), alongside SK Square (-6.0%) and HD Hyundai Heavy Industries (-2.3%).



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South Korean Shares Slide on Oil Surge
The benchmark KOSPI fell more than 2% to around 5,450 on Friday, retreating after a sharp rebound in the previous session as rising oil prices and weaker global risk sentiment weighed on the market. Escalating conflict involving Iran heightened fears of potential disruptions to energy supplies in the Middle East, sending crude prices sharply higher. The spike in oil prices raised concerns about renewed inflation pressures, particularly for energy-importing economies such as South Korea. Domestically, authorities also raised an energy supply alert as the government moved to monitor fuel markets more closely amid the recent surge in global oil prices. Additionally, losses on Wall Street added to the cautious mood across Asian markets, with major US indexes falling more than 1% overnight as investors shifted away from riskier assets. Heavyweight stocks declined, including Samsung Electronics (-3.9%) and SK hynix (-4.4%), alongside SK Square (-6.0%) and HD Hyundai Heavy Industries (-2.3%).
2026-03-06
Korean Shares Rebound on Tech Rally
The benchmark KOSPI surged 9.63% to close at 5,584 on Thursday after tumbling nearly 20% over the previous three sessions, as semiconductor and broader technology shares bounced back from the historic selloff. The Korea Exchange reactivated a sidecar trading curb on the benchmark, temporarily suspending programme trading for five minutes amid elevated volatility. Domestic equities also mirrored a tech-led rebound on Wall Street overnight, supported by stabilizing oil prices and easing inflation concerns, although hostilities between the US and Iran continued without clear signs of de-escalation. For the recovery in risk assets to be sustained, investors will likely require clearer guidance on the conflict’s duration and its implications for growth and price dynamics. Leading chipmakers Samsung Electronics and SK Hynix jumped 11.15% and 10.95%, respectively. Other standout gainers included Hanmi Semiconductor (20.85%), Hyundai Motor Company (9.18%), and SK Square (11.05%).
2026-03-05
South Korean Shares Plunge the Most since 2008
The benchmark KOSPI tumbled 12.06% to close at 5,094 on Wednesday, marking its steepest single-day drop since 2008 and its lowest level in nearly one month, as worsening Middle East tensions pushed oil prices higher and fueled global risk aversion. Oil prices jumped after Iran disrupted shipping in the Strait of Hormuz, raising concerns over higher import costs and inflation in energy-dependent South Korea. Trading was briefly halted after the index triggered an 8% circuit breaker, with forced liquidations of leveraged positions adding to the sell-off. Overnight declines on Wall Street added to the negative momentum. Losses were concentrated in large-cap exporters, including Samsung Electronics (-11.69%), SK hynix (-9.16%), Hyundai Motor (-16.05%), Kia Corp (-13.82%), LG Energy Solution (-11.32%), SK Square (-12.39%). The won also depreciated further, amplifying foreign outflows and imported inflation pressures, after overseas investors posted record net equity sales in February.
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