South Korean Shares Set New Record

The benchmark KOSPI rose more than 1% to around 6,700 on Tuesday, extending its record run, driven primarily by a tech-led global rally. Investor sentiment strengthened as Wall Street’s record highs and anticipation surrounding upcoming US Big Tech earnings boosted South Korea’s semiconductor and AI-linked heavyweights, with SK Hynix jumping 2.2% and Samsung Electronics edging up 0.2%. Other notable gainers included SK Square (4.7%), Samsung SDI (3.9%), Hyundai Motor (4.4%), and LG Energy Solution (1.0%). Domestic corporate momentum added further support after Samsung SDI returned to profit on stronger ESS battery sales, while Google DeepMind’s push to deepen AI partnerships with Samsung, SK hynix, Hyundai, and LG reinforced optimism over Korea’s long-term technology competitiveness. Meanwhile, lingering Middle East tensions kept Brent crude above $100 per barrel, limiting broader upside amid concerns over elevated energy costs and inflation risks.

The benchmark KOSPI climbed 2.15% to close at 6,615 on Monday, extending its rally to a fresh record high amid gains in heavyweight chipmakers and stronger domestic economic signals. Semiconductor shares led the advance, with SK hynix (5.73%) surging on sustained optimism over its AI memory leadership and Samsung Electronics (1.59%) also moving higher, as investors focused on upcoming earnings from major global technology firms. Notable gains were also seen in Hyundai Motor (1.75%), SK Square (8.14%), Doosan Enerbility (1.42%), HD Hyundai Electric (5.37%), and LS Electric (12.36%). Sentiment was further supported by stronger-than-expected South Korean economic growth, which reduced expectations for Bank of Korea rate cuts and reinforced confidence in domestic resilience. Meanwhile, investors largely looked past stalled US-Iran peace talks and elevated oil prices, prioritizing corporate momentum and policy expectations over geopolitical concerns.

The benchmark KOSPI closed flat at 6,476 on Friday, pausing its recent record rally as investors remained cautious amid persistent geopolitical tensions in the Middle East. The US ordered naval action against vessels laying mines in the Strait of Hormuz, while Iran seized commercial ships and signaled the waterway may remain disrupted, heightening concerns over global oil supply despite a temporary ceasefire extension between Israel and Lebanon. Losses were driven by technology stocks, tracking an overnight pullback on Wall Street and profit-taking after recent peaks, with Samsung Electronics (-2.23%) and SK Hynix (-0.16%) falling. Automakers also weakened, with Hyundai Motor (-3.57%) and Kia Corporation (-3.09%) retreating. Meanwhile, heightened tensions supported defense and select industrial plays, partly offsetting broader declines, with gains in Hanwha Aerospace (2.95%) and HD Hyundai Heavy Industries (4.99%), alongside Doosan Enerbility (3.75%) and LG Energy Solution (3.22%).