Seoul: Seoul stocks opened higher Thursday, reaching a fresh peak of over 6,700, as investors showed confidence in the continued strength of chip demand due to robust earnings from Samsung and major U.S. tech companies. The benchmark Korea Composite Stock Price Index (KOSPI) added 19.51 points, or 0.29 percent, to 6,710.41 by 9:15 a.m., after hitting an early high of 6,739.39.
According to Yonhap News Agency, the KOSPI's rise follows a record close of 6,690.90 the previous day, marking a three-day streak of gains. The overnight performance of major U.S. indexes presented a mixed picture, with the Dow Jones Industrial Average decreasing by 0.57 percent and the S and P 500 dipping 0.04 percent. In contrast, the tech-centric Nasdaq composite edged up by 0.04 percent.
These mixed outcomes coincided with a surge in international oil prices. This rise was influenced by U.S. President Donald Trump's declaration that a naval blockade of Iran would remain until a nuclear agreement is reached with Tehran. Investors were also focused on earnings announcements from tech behemoths such as Alphabet, Amazon.com, Meta Platforms, and Microsoft. Post-market reports from these companies revealed stronger-than-anticipated revenues in the first quarter, spurring optimism for a sustained boom in artificial intelligence (AI).
The international oil benchmark, Brent crude, soared by 6.1 percent to US$118.03 per barrel, and the WTI price climbed 6.95 percent to $106.88 per barrel.
In South Korea, the KOSPI benefited from the performance of blue-chip tech stocks. Samsung Electronics, a leading memory chip manufacturer globally, reported record quarterly earnings for the first quarter of the year, reinforcing expectations for continued prosperity in the AI sector. Samsung's share price rose by 0.77 percent, while competitor SK hynix advanced by 1.62 percent. AI-focused investment firm SK Square saw a 2.41 percent increase.
Other major electronic firms such as Samsung Electro-Mechanics and LS Electric experienced gains of 1.09 percent and 1.65 percent, respectively. However, Hyundai Motor, the leading automaker, started the day 0.72 percent lower. Power plant manufacturer Doosan Enerbility fell by 0.77 percent, with shipbuilder HD Hyundai Heavy decreasing by 0.87 percent, and Hanwha Ocean dropping by 0.98 percent.
The Korean won was trading at 1,483.9 won against the U.S. dollar at 9:15 a.m., a decline of 4.9 won from the previous session.