Seoul: South Korean stocks soared to a fresh record high, with the Korea Composite Stock Price Index (KOSPI) surpassing the 7,900-point mark on Tuesday morning. This surge comes as major chipmakers continue to rally, despite growing concerns over the potential collapse of peace talks between the United States and Iran.
According to Yonhap News Agency, the benchmark KOSPI opened 1.68 percent higher and jumped 112.27 points, or 1.44 percent, reaching 7,934.51 by 9:15 a.m., after briefly touching 7,999.67 shortly after the market opened. This marks the first occasion the index has breached the 7,900-point level.
The KOSPI previously hit an all-time high of 7,822.24 on Monday, closing above 7,800 points for the first time, driven by the sustained rally of tech giants like Samsung Electronics and SK hynix. The index followed tech gains on Wall Street, which were buoyed by optimism surrounding the growth of the artificial intelligence (AI) sector, despite geopolitical challenges such as the stalled U.S.-Iran peace negotiations and the anticipated summit between U.S. President Donald Trump and Chinese leader Xi Jinping.
In the U.S., tech stocks saw significant gains, with Micron jumping 6.5 percent, Intel rising 3.62 percent, Qualcomm surging 8.42 percent, and Nvidia increasing by 1.97 percent.
Earlier, President Trump mentioned the possibility of reviving "Project Freedom," an initiative to assist stranded vessels in the Strait of Hormuz amid the ongoing U.S.-Israeli conflict with Iran. He also described the current ceasefire with Iran as being on "massive life support" and dismissed Iran's peace proposal as a "piece of garbage."
Despite these geopolitical uncertainties, key tech shares in Seoul began the day on a strong note. Market leader Samsung Electronics opened 0.7 percent higher, while SK hynix saw a 3.27 percent rise. AI investment firm SK Square increased by 1.77 percent, and battery leader LG Energy Solution climbed 0.96 percent. Hyundai Motor and its affiliate Hyundai Mobis experienced robust growth, with increases of 5.42 percent and 8.5 percent, respectively. Doosan Enerbility, a power plant manufacturer, expanded 3.59 percent, and major shipbuilder HD Hyundai Heavy rose 4.23 percent. Samsung Electro-Mechanics advanced 4.33 percent.
Conversely, defense firm Hanwha Aerospace fell 1.37 percent, with Samsung SDI and LS Electric declining by 1.83 percent and 1.81 percent, respectively. Meanwhile, the Korean won was trading at 1,478.2 won against the U.S. dollar, down 5.8 won from the previous session.