South Korean stocks rise on strong tech shares despite Middle East tensions
KOSPI gains 0.23 percent as solid August exports offset global economic concerns
Quick Look
South Korean stocks rose for the second consecutive session, driven by tech gains and solid August exports, despite escalating U.S.-Iran tensions and inflation worries.
AI-generated summary
Why It Matters
South Korean stocks tracking overnight Wall Street losses following renewed U.S.-Iran military clashes.
SEOUL, Sept. 1 (Yonhap) -- South Korean stocks rose for the second consecutive session Tuesday on gains in tech shares despite escalating tensions in the Middle East following a resumption of airstrike exchanges between the United States and Iran. The local currency lost against the U.S. dollar.
The benchmark Korea Composite Stock Price Index (KOSPI) closed at 6,835.80, up 15.78 points, or 0.23 percent.
The index opened 0.52 percent lower, tracking overnight losses on Wall Street, following resumed military clashes between the U.S. and Iran, fueling uncertainty in global oil prices and inflation worries in the world's largest economy.
Federal Reserve Chair Kevin Warsh's hawkish speech at the Jackson Hole Symposium also fanned concerns over a possible rate hike at the upcoming rate-setting meeting later this month.
The Dow Jones Industrial Average fell 0.7 percent and the S&P 500 lost 0.33 percent, while the Nasdaq composite declined 0.12 percent.
However, the KOSPI erased the earlier losses in the afternoon on gains in tech shares after government data showed that South Korea's August exports remained solid, supported by strong chip demand.
Open Questions
- Will the Federal Reserve raise interest rates at the upcoming meeting?
- How will Middle East tensions impact global oil prices further?
