Seoul: South Korean stocks extended their winning streak to a fourth session Friday, reversing an earlier loss amid renewed Middle East tensions. The local currency dropped sharply against the U.S. dollar. After opening 1.82 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) finished at a fresh high of 7,498 points, up 7.95 points, or 0.11 percent.
According to Yonhap News Agency, trade volume was heavy at 518.3 million shares worth 40 trillion won (US$27.2 billion), with losers outnumbering winners 500 to 367. Institutions and individuals scooped up a net 1.5 trillion won and 4 trillion won, respectively, nearly offsetting foreign net selling worth 5.6 trillion won. The index had been on a record-breaking rally over the recent three sessions driven by strong gains in chips related to artificial intelligence (AI) and optimism for a U.S.-Iran peace deal in the Middle East.
Overnight, the U.S. and Iranian militaries exchanged fire, raising concerns over a possible peace agreement to end the 10-week war. U.S. President Donald Trump later told reporters the ceasefire was still in effect despite the clash. "After a recent rally, investors sold stocks to secure gains. In particular, foreign investors offloaded large-cap tech shares," Lee Kyung-min, an analyst at Daishin Securities, said. "While semiconductor shares took a breather, auto and robotics stocks lent support to the index."
Top carmaker Hyundai Motor, who owns leading global robotics company Boston Dynamics, jumped 7.17 percent to 613,000 won and its sister Kia advanced 4.38 percent to 164,500 won. Chip giant SK hynix rose 1.93 percent to 1.69 million won and home appliances maker LG Electronics added 3.63 percent to 154,100 won. Cosmetics manufacturer APR surged 8.09 percent to 434,000 won and Samyang Foods, known for its smash-hit Buldak series ramyeon, soared 7.59 percent to 1.36 million won.
However, top-cap Samsung Electronics fell 1.1 percent to 268,500 won and defense giant Hanwha Aerospace dropped 0.76 percent to 1.3 million won. Major shipbuilder Hanwha Ocean declined 2.93 percent to 126,100 won and bio giant Celltrion retreated 2.02 percent to 198,400 won. The Korean won was quoted at 1,471.7 won against the U.S. dollar at 3:30 p.m., down 17.7 won from the previous session.