South Korean Shares Extend Gains

The benchmark KOSPI rose 1.36% to close at 5,450 on Monday, extending gains from the previous session as heavyweight semiconductor strength and easing energy concerns supported sentiment. Technology shares led the rally, with Samsung Electronics (3.79%) and SK hynix (0.91%) posting gains ahead of key earnings guidance, amid expectations of record quarterly profits driven by the ongoing AI-led memory upcycle. Among the top performers were LG Energy Solution (3.64%), SK Square (0.83%), KB Financial Group (1.99%), and Shinhan Financial Group (1.74%). Hopes for progress toward reopening the Strait of Hormuz further lifted sentiment, helping ease fears of prolonged supply disruptions and extreme oil price spikes. However, gains remained tempered by persistent geopolitical risks after Donald Trump renewed threats of military action against Iran, keeping markets sensitive to headlines and contributing to elevated volatility.

The benchmark KOSPI rose 2.7% to close at 5,377 on Friday, recouping losses from the previous session, following reports that Iran and Oman were drafting a protocol to monitor transit through the Strait of Hormuz. The news raised hopes that the key waterway could partially reopen. Meanwhile, US President Donald Trump imposed a 15% tariff on South Korean pharmaceutical products under a bilateral trade agreement. Most sectors finished in the green, led by electronic technology, which rose over 4%, with major index heavyweights climbing, including Samsung Electronics (+4.7%) and SK Hynix (+6.1%). Other notable gainers included Hyundai Motor (+1.2%), Hanwha Aerospace (+2.1%), and Doosan Enerbility (+3.2%). On the economic front, South Korea’s foreign exchange reserves fell to $423.7 billion in March from $427.6 billion in February. For the week, however, the benchmark index went down 1.1%, marking the second consecutive loss.

The benchmark KOSPI slumped 4.47% to close at 5,234 on Thursday, reversing the previous session’s gains as renewed geopolitical concerns rattled investors. Sentiment was dampened after Donald Trump signaled in a public address that the US is “nearing completion” of its military objectives in the Middle East while vowing to “finish the job” in the near term. Trump cautioned that over the next two to three weeks, the US could hit Iranian targets “extremely hard” and potentially “bring them back to the Stone Age,” threatening energy facilities if no deal is reached. Economic data added to market caution, with South Korea’s consumer prices rose 2.2% in March, above the 2% target, led by a 9.9% jump in petroleum, the sharpest since October 2022. Notable losers were Samsung Electronics (-5.91%), SK Hynix (-6.83%), Hyundai Motor (-4.61%), and Doosan Enerbility (-6.02%).