Seoul Shares Rise as Oil Prices Ease After Trump Downplays Iran Conflict
Quick Look
- Seoul shares extended gains as oil prices eased after U.S.
- President Donald Trump downplayed the prospect of a prolonged conflict with Iran.
- The KOSPI rose 1.4% to 6,654.76, led by gains in tech and auto stocks, while foreigners and individuals net sold stocks and institutions bought.
AI-generated summary
Why It Matters
The KOSPI had plunged 3.99% in the previous session due to Middle East tensions and concerns about potential U.S. Federal Reserve rate hikes. Overnight, the Dow Jones rose 0.56% and the Nasdaq gained 0.45%.
SEOUL, Sept. 3 (Yonhap) -- Seoul shares extended their gains late Thursday morning as oil prices eased after U.S. President Donald Trump played down the prospect of a prolonged conflict with Iran.
After opening 1.33 percent higher, the benchmark Korea Composite Stock Price Index (KOSPI) was up 92.04 points, or 1.4 percent, at 6,654.76 as of 11:20 a.m.
The main index plunged 3.99 percent in the previous session amid concerns about tensions in the Middle East and the possibility of further U.S. Federal Reserve rate hikes.
Overnight, the Dow Jones Industrial Average rose 0.56 percent, while the tech-heavy Nasdaq composite gained 0.45 percent.
Trump said renewed U.S. attacks on Iran would likely be short-lived, easing concerns about inflation.
Foreigners and individuals sold a net 300.38 billion won (US$221 million) and 319.95 billion won worth of stocks, respectively. Institutions bought a net 17.79 billion won.
In Seoul, tech stocks led the gains.
Market bellwether Samsung Electronics rose 1.4 percent, and its chipmaking rival SK hynix climbed 0.99 percent.
Top carmaker Hyundai Motor gained 1.46 percent, and leading battery maker LG Energy Solution jumped 4.89 percent.
Among decliners, leading wireless services provider SK Telecom fell 1.86 percent and Lotte Shopping declined 0.57 percent.
The Korean won was quoted at 1,358.60 won against the U.S. dollar as of 11:20 a.m., up 0.6 won from the close of the previous stock trading session.
What to Watch
AI outlook โ possibilities, not facts
Seoul shares may continue to rise if Middle East tensions remain eased
Possible ยท Within days
Open Questions
- How long will the easing of Middle East tensions last?
- Will institutions continue to buy Korean stocks in the coming sessions?
- What is the outlook for the Korean won against major currencies?
