Korea Composite Stock Index Falls as Uncertainty Grows

South Korean Stocks Slip as Oil Price Volatility Weighs on Investor Sentiment​

KOSPI Extends Losses Amid US Iran Tensions and Energy Market Uncertainty​

South Korean stocks traded lower on Thursday morning as investors remained cautious amid continued volatility in global oil prices linked to the ongoing US Iran conflict.

The benchmark Korea Composite Stock Price Index (KOSPI) dropped 43.49 points, or 0.78 percent, to 5,566.46 as of 11:20 a.m., reflecting subdued investor sentiment across key sectors.

Market participants remained wary despite the International Energy Agency announcing plans to release oil reserves in an effort to ease concerns over supply disruptions at the Strait of Hormuz. The critical shipping route remains a focal point for global energy markets, and investors are closely watching developments that could affect long term supply stability.

Technology and Brokerage Stocks Lead Market Decline​

Major technology stocks moved lower during the session.

Samsung Electronics declined 1.37 percent, while semiconductor manufacturer SK Hynix slipped 1.36 percent. Weakness in the technology sector added pressure on the broader index.

Brokerage firms also traded in negative territory. Mirae Asset Securities fell 1.68 percent, and Kiwoom Securities lost 0.33 percent.

Refiners Gain on Oil Market Developments​

In contrast, oil refiners recorded gains as rising energy prices improved sector outlook.

SK Innovation climbed 2.59 percent, while S Oil advanced 1.92 percent during the session.

Battery makers showed mixed performance. LG Energy Solution edged up 0.54 percent, whereas Samsung SDI declined 0.62 percent.

Korean Won Weakens Against the US Dollar​

In the currency market, the Korean won weakened against the US dollar. The local currency traded at 1,478.9 won per dollar, down 12.4 won compared with the previous trading session.

Government Promises Support for Businesses Amid Global Uncertainty​

South Korea's finance minister Koo Yun cheol said the government would provide comprehensive support to businesses as global economic uncertainty rises due to the Middle East crisis.

Speaking at the inaugural meeting of a consultative body formed between the finance ministry and six major business lobby groups, Koo said the situation in the Middle East has continued for more than two weeks, pushing global economic uncertainty to elevated levels.

He stated that the government would mobilize financial, tax, and regulatory tools to support companies seeking to expand their international presence.

Koo also highlighted the importance of startups, promising expanded incentives to help emerging companies grow into global unicorns.

Meanwhile, SK Group Chairman Chey Tae won, who leads the Korea Chamber of Commerce and Industry, said the business community would actively cooperate with the government's initiatives.