South Korean Shares Rally to Fresh Record

The benchmark KOSPI surged 8.42% to close at 7,816 on Thursday, rebounding sharply from the previous session as investor sentiment improved on easing geopolitical concerns and strong momentum in the semiconductor sector. US President Donald Trump said negotiations with Iran were in the “final stages,” helping ease concerns over disruptions in the Middle East and cooling oil prices from recent highs. At the same time, technology shares led the rally amid sustained optimism surrounding AI-related chip demand and robust export growth. Heavyweight Samsung Electronics jumped 8.33%, while SK Hynix advanced 11.23%. Samsung Electronics also reached a tentative wage agreement with its labor union, averting a planned strike that had raised concerns over disruptions to global chip supply chains. Notable gains were also seen in Hyundai Motor (12.50%), SK Square (13.99%), LG Energy Solution (3.90%), Samsung Electro-Mechanics (12.91%), Doosan Enerbility (7.21%), and Kia Corporation (12.25%).

The benchmark KOSPI fell 0.86% to close at 7,209 on Wednesday, extending losses from the previous session, amid broad risk-off sentiment and semiconductor concerns. US Treasury yields rose as escalating Middle East tensions pressured global equities, with fears of resurging inflation triggering a bond selloff. This followed US President Trump’s warning that Washington could resume strikes on Iran within days if no agreement is reached. Sentiment also deteriorated after talks between Samsung Electronics and its labor union broke down, paving the way for a strike starting Thursday. Losses were led by Hyundai Motor (-1.66%), LG Energy Solution (-3.75%), and Doosan Enerbility (-4.43%), while Samsung Electronics (0.18%) edged up. Still, sentiment was partly supported after South Korea’s finance minister and central bank governor pledged to cooperate in stabilizing domestic financial markets, while Seoul and Tokyo agreed to strengthen cooperation on supply chains and energy procurement.

The benchmark KOSPI fell 3.25% to close at 7,272 on Tuesday, reversing gains in the previous session, as semiconductor weakness weighed on sentiment. US tech shares declined overnight, tracking a pullback in memory chip stocks as investors locked in gains following a strong chipmaker-driven rally. SK hynix (-4.62%) and SK Square (-7.14%) led losses among technology shares, while Samsung Electronics (-0.80%) also edged lower amid lingering labor dispute concerns. Broader weakness extended across Hyundai Motor (-9.05%), LG Energy Solution (-2.33%), Doosan Enerbility (-5.89%), and Kia Corporation (-4.68%). In contrast, defense-related stocks outperformed, with Hanwha Aerospace surging 4.32% as escalating Middle East tensions boosted optimism over Korean military exports and air defense demand. Investors remained cautious amid elevated crude oil prices and rising global bond yields, even after US President Donald Trump delayed a planned attack on Iran.