Seoul: Seoul shares ended higher Tuesday, led by gains in technology shares, while investors remained cautious ahead of a deadline set by U.S. President Donald Trump regarding a potential peace deal with Iran. The Korean won rose against the U.S. dollar.
According to Yonhap News Agency, the benchmark Korea Composite Stock Price Index (KOSPI) rose 44.45 points, or 0.82 percent, to 5,494.78. Trading volume was moderate at 979.32 million shares worth 23.11 trillion won (US$15.4 billion). Decliners outnumbered gainers 577 to 286.
The main index extended gains after Samsung Electronics estimated its operating profit for the January-March quarter surged nearly ninefold to a record 57.2 trillion won, compared with 6.61 trillion won a year earlier, driven by robust demand for artificial intelligence-related chips. Foreign investors bought a net 406.88 billion won worth of stocks, while institutional and retail investors sold a net 414.13 billion won and 342.63 billion won, respectively.
"Despite ongoing geopolitical uncertainties linked to tensions involving the United States, Israel, and Iran, the Korean market was supported by overnight gains on Wall Street, particularly in semiconductor stocks, and by expectations of further upside following Samsung Electronics' strong first-quarter earnings," said Han Ji-young, an analyst at Kiwoom Securities.
On Monday (U.S. time), Trump broadened his warning against Iran to include potential strikes on infrastructure such as power plants and bridges, as a Wednesday 9 a.m. (Korea time) deadline for a deal approaches. In Seoul, technology stocks led the gain.
Market bellwether Samsung Electronics advanced 1.76 percent to 196,500 won, and its chipmaking rival SK hynix surged 3.39 percent to 916,000 won. Defense giant Hanwha Aerospace Industries jumped 6 percent to 1,537,000 won, and top carmaker Hyundai Motor rose 0.85 percent to 473,000 won. Among decliners, leading battery maker LG Energy Solution fell 0.97 percent to 408,500 won, and top refiner SK Innovation declined 1.14 percent to 121,800 won.
The local currency closed at 1,504.20 won against the U.S. dollar, up 2.1 won from the previous session's close.