Seoul: South Korean stocks finished higher for the second straight session Wednesday as investors hunted for bargains amid the market's recent volatility caused by the U.S.-Iran war. The local currency rose against the greenback.
According to Yonhap News Agency, the Korea Composite Stock Price Index (KOSPI) moved up 77.36 points, or 1.4 percent, to close at 5,609.95 after rising as high as 5,746.36. The trade volume was substantial, with 1 billion shares exchanged, valued at 26.3 trillion won (US$17.9 billion), and gainers significantly outnumbered losers 701 to 198.
The South Korean stock market has been affected by the escalating Middle East crisis this week, experiencing a dip of 5.96 percent on Monday and a rebound of 5.35 percent on Tuesday. Investors focused on acquiring blue chip shares following the recent correction, while closely monitoring the situation at the Strait of Hormuz, where ship passage has been virtually suspended due to the conflict.
The KOSPI had closed at a record high of 6,307.27 on February 26, a significant rise from 4,309.63 at the start of 2026, driven largely by the success of chipmakers amid a global artificial intelligence boom. However, the index faced increased volatility due to the U.S.-Iran conflict. "Amid lingering geopolitical tensions in the Middle East, the stock market is gradually recovering from such issues," said Lee Kyoung-min, a researcher at Daishin Securities.
In specific stock movements, top tech giant Samsung Electronics increased 1.12 percent to 190,000 won, while SK hynix gained 1.81 percent to 955,000 won. Brokerage houses showed positive trends with Mirae Security Assets rising 10.53 percent to 71,400 won and Kiwoom Securities climbing 5.51 percent to 450,000 won.
Among battery makers, LG Energy Solution saw a slight increase of 0.65 percent to 369,500 won, while Samsung SDI decreased by 0.87 percent to 400,000 won. In the pharmaceutical sector, Samsung Biologics rose 4.08 percent to 1,657,000 won, and Celltrion climbed 1.46 percent to 209,000 won.
The Korean won was trading at 1,466.5 won against the U.S. dollar, marking an increase of 2.7 won from the previous session. Bond prices, which move inversely to yields, also closed higher, with the yield on three-year Treasurys falling 3 basis points to 3.253 percent and the benchmark five-year government bonds decreasing 3.8 basis points to 3.47 percent.