South Korean Shares End Higher

The benchmark KOSPI rose 0.23% to close at 6,836 on Tuesday, extending gains for a second straight session as technology shares recovered from early losses. Samsung Electronics rose 0.38%, while SK hynix advanced 1.14%, alongside gains in SK Square (2.89%), Samsung C&T (3.72%), Shinhan Financial Group (2.02%), and HD Hyundai Heavy Industries (0.78%). The rebound was supported by strong August export data, with total shipments surging 68.7% year-on-year to $98.25 billion and semiconductor exports jumping 209% to a record $46.65 billion on robust AI infrastructure demand. The data reinforced expectations for strong earnings among major chipmakers and helped lift technology shares in afternoon trading. Meanwhile, renewed US-Iran clashes, higher oil prices and hawkish remarks from Fed Chair Kevin Warsh continued to weigh on sentiment, raising concerns over inflation and further interest-rate increases.

The benchmark KOSPI edged down to around 6,800 on Tuesday, reversing gains from the previous session, as renewed US-Iran military clashes weighed on investor sentiment and pushed oil prices higher. The escalation raised concerns over renewed inflationary pressures and tighter global monetary policy, while losses on Wall Street added to the pressure on Korean equities. Among major decliners were Samsung Electronics (-0.3%), Hyundai Motor (-1.1%), Hanwha Aerospace (-3.3%), KB Financial Group (-1.4%), and Doosan Enerbility (-1.8%). Meanwhile, strong domestic trade data offered some support to the market outlook, as South Korea’s exports jumped 68.7% year-on-year to $98.25 billion in August, marking the 15th consecutive month of growth. Semiconductor exports surged 209% to $46.65 billion, driven by continued AI infrastructure spending by major technology companies, reinforcing expectations for solid earnings among Korea’s major semiconductor companies.

The benchmark KOSPI rose 0.46% to close at 6,820 on Monday, reversing part of the previous session's losses as Samsung Electronics and SK hynix rebounded, alongside gains across other large-cap stocks. Samsung Electronics increased 1.17% and SK hynix advanced 1.27%, while SK Square (0.88%), Hyundai Motor (1.00%), LG Energy Solution (2.16%), KB Financial Group (0.99%), and Kia Corporation (2.34%) also posted gains. The market also remained supported by expectations for another month of strong semiconductor-led export growth, with August shipments forecast to rise more than 60% year-on-year. The KOSPI was on course for a gain of over 3% for the month of August. Meanwhile, renewed concerns over US interest rates following hawkish comments from Federal Reserve Chair Kevin Warsh kept investors cautious. At the same time, escalating Middle East tensions following renewed US strikes near the Strait of Hormuz added to risk concerns.