Seoul Stocks Surge Over 10% Following Historic Decline
Synopsis
Seoul's stock market rebounded dramatically on Thursday, rising over 10% after a record drop. Investors seized the opportunity to buy, significantly boosting the KOSPI index. This surge follows fears over economic fallout from the Iran crisis, which had previously caused substantial losses.
Key Takeaways
Seoul's KOSPI index surged by over 10% today.
The market rebound follows a historic 12% drop.
Investor sentiment is influenced by geopolitical tensions.
Major companies like Samsung Electronics and SK Hynix saw significant gains.
The Korean won strengthened against the U.S. dollar.
Seoul, March 5 (NationPress) - South Korean equities saw a significant rebound late Thursday morning as investors engaged in bargain hunting following a historic sell-off in the previous trading session.
Beginning with a 3.09% increase, the benchmark Korea Composite Stock Price Index (KOSPI) further accelerated, soaring by 10.25%, which translates to 521.9 points, reaching 5,615.44 by 11:20 AM, according to reports from Yonhap News Agency.
The Korea Exchange (KRX), the primary stock market operator in the nation, implemented a five-minute buy-side sidecar at 9:06 AM to pause program-driven buy orders in KOSPI futures.
In stark contrast, on Wednesday, the KOSPI witnessed a dramatic decline of 12.06%, closing at 5,094.54, marking the most severe daily drop ever recorded. This downturn was largely attributed to growing concerns that the ongoing crisis in Iran could profoundly impact South Korea's export-oriented economy.
Most stocks traded positively across the market. Notably, Samsung Electronics surged by 11.96%, while its competitor in chip manufacturing, SK Hynix, experienced an increase of 12.49%.
Leading shipbuilders HD Hyundai Heavy Industries and Hanwha Ocean saw their shares rise by 8.22% and 11.34%, respectively.
Additionally, Naver, a prominent internet portal operator, climbed by 6.25%, and Samyang Foods, famous for its popular instant ramen brand, the Buldak series, rose by 3.37%.
As of 11:20 AM, the Korean won was valued at 1,463.35 won against the U.S. dollar, reflecting an increase of 13.15 won from the prior session.
On Wednesday, Seoul shares plummeted by over 12%, closing below the 5,100-point threshold as escalating concerns regarding the economic repercussions of the intensifying Middle East conflict unsettled investors. The Korean won also experienced a sharp decline against the U.S. dollar.
Ultimately, the KOSPI fell by 698.37 points, or 12.06%, marking the steepest single-day drop since September 12, 2001, following the September 11 terrorist attacks in the U.S., as reported by Yonhap News Agency.
Point of View
It also highlights the underlying concerns regarding geopolitical tensions and their potential impact on the economy.
NationPress
6 May 2026
Frequently Asked Questions
What caused the significant drop in Seoul's stock market?
The sharp decline in Seoul's stock market was primarily due to escalating fears related to the Iran crisis and its potential negative impact on South Korea's export-driven economy.
How much did the KOSPI index increase on Thursday?
On Thursday, the KOSPI index increased by 10.25%, or 521.9 points, reaching 5,615.44.
What measures did the Korea Exchange take during the trading session?
The Korea Exchange activated a five-minute buy-side sidecar to halt program-driven buy orders in KOSPI futures, reflecting the market's volatility.
Which major companies saw significant stock price increases?
Major companies like Samsung Electronics and SK Hynix saw their stock prices increase by 11.96% and 12.49%, respectively.
How did the Korean won perform against the U.S. dollar?
As of 11:20 AM, the Korean won was trading at 1,463.35 won against the U.S. dollar, up 13.15 won from the previous session.
