South Korean Shares Rebound

The benchmark KOSPI climbed more than 1% to around 6,650 on Thursday, rebounding from the previous session as risk sentiment improved following overnight gains on Wall Street and easing Middle East tensions. President Donald Trump said renewed US attacks on Iran would likely be short-lived, while oil prices edged lower, easing concerns over inflation and energy prices. Tech stocks led the gains, with Samsung Electronics and SK hynix rising more than 1% each. Other notable performers included SK Square (1.0%), Hyundai Motor (1.3%), LG Energy Solution (6.3%), KB Financial Group (5.8%), Hanwha Aerospace (2.4%), Doosan Enerbility (3.0%), Shinhan Financial Group (3.8%), and HD Hyundai Heavy Industries (2.7%). However, gains were tempered by renewed concerns over potential US semiconductor tariffs, as Commerce Secretary Howard Lutnick said the administration is considering a targeted policy tying tariff relief to investment in US chip manufacturing.

The benchmark KOSPI slipped 3.99% to close at 6,563 on Wednesday, reversing gains from the previous session, as escalating US-Iran hostilities pushed oil prices higher and weighed on global risk sentiment. Brent crude climbed above $95 per barrel while WTI rose above $90, raising concerns over energy costs and inflation amid risks of disruptions to oil flows through the Strait of Hormuz. Additionally, the US 10-year Treasury yield climbed to its highest level since January 2025, adding pressure on equities and technology stocks. Samsung Electronics and SK hynix plunged 4.02% and 4.67%, respectively. Notable declines were also recorded in SK Square (-7.69%), Hyundai Motor (-5.74%), LG Energy Solution (-5.45%), Hanwha Aerospace (-3.78%), Doosan Enerbility (-5.65%), and Kia Corporation (-5.26%). South Korea’s annual inflation rose to 3.1% in August from 2.8% in July, although the government estimated price growth at around 2.5% excluding a temporary mobile-bill base effect.

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.