KOSPI Trims Gains Despite Easing US-Iran Tensions; Won Rebounds Sharply
Seoul Stocks Pare Early Surge Amid Foreign Selling Pressure
Seoul stocks gave up a portion of their early gains on Tuesday morning, even as easing military tensions between the United States and Iran lifted global sentiment.The benchmark Korea Composite Stock Price Index (KOSPI) rose 45.02 points, or 0.83 percent, to 5,450.77 as of 11:20 a.m. However, the index had surged more than 4 percent at the opening bell before trimming gains, as foreign investors turned sellers in the broader market.
Global Cues Support Sentiment After US Delays Iran Strikes
Overnight, major U.S. stock indexes ended higher after U.S. President Donald Trump indicated plans to postpone attacks on Iranian energy facilities following talks with Iran.Trump had earlier warned of potential strikes on Iran’s power infrastructure if Tehran did not reopen the Strait of Hormuz, a critical global oil transit route. Iran had responded with warnings of retaliation.
The latest developments have raised expectations of easing geopolitical tensions in the Middle East, which in turn could stabilize elevated oil prices.
South Korea Exports Surge Led by Semiconductor Strength
Separately, South Korea’s tariff agency reported that exports as of Friday jumped more than 50 percent year-on-year. The surge was primarily driven by semiconductor shipments, which recorded a new monthly high.Large-Cap Stocks Trade Mixed
Large-cap stocks showed mixed performance during the session.Samsung Electronics rose 1.18 percent, while SK Hynix gained 2.47 percent, though both pared earlier advances. Hyundai Motor climbed 1.24 percent, and Hanwha Aerospace added 1.72 percent. KB Financial remained flat.
Korean Won Recovers From 17-Year Low
The South Korean won rebounded sharply against the U.S. dollar, recovering from a 17-year low recorded in the previous session.The currency opened at 1,490.9 per dollar, strengthening by 26.4 won from the prior close of 1,517.3. Monday’s level had marked the weakest point since March 9, 2009, during the global financial crisis.
Markets Remain Volatile Amid Ongoing Middle East Conflict
Domestic and global financial markets have seen heightened volatility as tensions escalated following U.S.-Israeli strikes on Iran that began late last month.On Monday U.S. time, Trump confirmed a five-day postponement of the planned strikes, citing constructive discussions aimed at ending the conflict in the Middle East.
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