Seoul:South Korean shares extended their winning streak to a fourth session on Wednesday as investors purchased major semiconductor stocks, inspired by the Nasdaq Composite's consecutive record closes. The local currency appreciated against the U.S. dollar.

According to Yonhap News Agency, the Korea Composite Stock Price Index (KOSPI) rose by 63.01 points, or 1.21 percent, to close the day's regular trading session at 7,080.92. The index initially opened nearly 2 percent higher but later pared gains as foreign and individual investors sold tech heavyweights to secure profits.

U.S. stocks had ended mixed on Tuesday, with a continued rally in technology shares pushing the Nasdaq Composite up by 0.45 percent to another record close. Meanwhile, the Dow Jones Industrial Average fell by 0.36 percent and the S&P 500 declined by 0.06 percent. Investor sentiment was buoyed by ongoing rallies in AI-related stocks and hopes for easing U.S.-Iran tensions, which also helped reduce global oil prices.

Lee Kyung-min, an analyst at Daishin Securities, noted that with the South Korean market closed for the Chuseok holiday, investors were cautious ahead of key events. The market will remain closed on Thursday and Friday for the holiday.

The day's trade volume was light, reaching 217.4 million shares valued at 20.8 trillion won (approximately US$15.3 billion), with decliners outnumbering advancers 546 to 310. Foreign investors sold a net 51 billion won, while individuals sold 1.4 trillion won. Institutions, however, bought 31.6 billion won worth of shares.

Market leaders showed mixed results, with Samsung Electronics climbing 3.25 percent to 285,500 won and SK hynix rising 1.2 percent to 1.86 million won. SK Square, the parent company of SK hynix, saw a significant increase of 5.03 percent to 1.19 million won.

The Korean won was trading at 1,358.4 per U.S. dollar as of 3:30 p.m., a slight increase of 0.2 won from the previous session's close.