#kospi

South Korea Markets See Trading Decline Amid Geopolitical Tensions The South Korean stock market experienced a significant decline as geopolitical tensions and economic pressures weighed on investor confidence. The KOSPI and KOSDAQ indices dropped by 44% and 34%, respectively, while cryptocurrency prices fell by 32% amid concerns over oil prices and the won-dollar exchange rate. The market’s liquidity has deteriorated as trading volumes and investment funds waiting to enter the market have both declined. According to data from the Korea Exchange and Koscom, the KOSPI’s transaction value fell to 21.8174 trillion won on March 17, marking a 44% drop from its peak the previous month. The KOSDAQ market also saw a 34% decline in transaction value, dropping from 19.5319 trillion won to 12.9339 trillion won. Investor deposits, which represent funds awaiting entry into the market, fell from a record high of 132.0682 trillion won to 117.8011 trillion won, a loss of over 10 trillion won. The virtual asset market also faced a sharp decline, with the daily average transaction value of South Korea’s major crypto exchanges, including Upbit and Bithumb, dropping from 4.39 trillion won to 2.982 trillion won, a 32% reduction. Foreign and institutional investors contributed to the market’s downward spiral, with foreign investors net-selling 14.3393 trillion won worth of KOSPI stocks and institutional investors recording net sales of 4.3027 trillion won. The financial investment sector, reflecting individual investors’ ETF trading, also saw net sales of 3.5346 trillion won. The decline in trading activity is attributed to heightened caution amid volatile oil prices and exchange rates. South Korea’s reliance on energy imports has made it vulnerable to surging oil prices, which exacerbate corporate profitability issues and inflationary pressures.#south_korea #kospi #kosdaq #upbit #bithumb

Will South Korea’s epic bull market survive the energy shock? The KOSPI, South Korea’s benchmark stock market index, has surged past 6,000, far exceeding the 5,000 target promised by President Lee Jae-myung during his 2024 presidential campaign. At the time of his election, the index stood at around 1,500, having fallen from a peak of approximately 3,300 in 2021. Within eight months of taking office, Lee fulfilled his pledge, and by late January 2026, the index had surpassed 6,000, making his original goal seem modest. The market’s 138% rise over the past year has outpaced all major global stock indices, raising questions about its resilience amid growing energy price volatility. The rapid ascent of the KOSPI has been driven by a combination of domestic economic policies and global market dynamics. South Korea’s government has implemented stimulus measures to boost corporate earnings and consumer spending, while its export-driven economy has benefited from strong demand for technology and manufacturing goods. However, the country’s heavy reliance on imported energy has exposed it to global price fluctuations, particularly as geopolitical tensions and supply chain disruptions have intensified. Analysts warn that while the bull market has shown remarkable strength, it remains vulnerable to external shocks, including rising energy costs and potential economic slowdowns in key trading partners. Despite these risks, the market’s performance has defied expectations. South Korea’s tech sector, including semiconductors and automotive industries, has remained a major driver of growth, supported by innovation and global demand. However, the energy shock—linked to geopolitical conflicts and reduced oil supplies—has created uncertainty.#south_korea #kospi #president_lee_jae_myung #global_stock_indices #energy_price_volatility

South Korea’s KOSPI slides nearly 6% amid escalating Iran conflict South Korea’s benchmark stock index closed down by 5.96% on Monday, as tensions in the U.S.-Israel-Iran conflict and rising oil prices dragged on investor sentiment across Asian markets. The KOSPI index briefly fell 8.1% in morning trade, triggering a lower circuit breaker that halted trading temporarily. The sharp decline followed a weekend escalation in the Iran conflict, with Israeli air strikes targeting Iran’s oil infrastructure for the first time since the war began. In response, Iran launched missile and drone attacks against several Middle Eastern countries, focusing on energy facilities. The conflict also intensified with Iran beginning to attack ships passing through the Strait of Hormuz, a critical shipping route that accounts for about 20% of global oil consumption. This development pushed crude oil prices to levels last seen during the Russia-Ukraine war in 2022. Asian markets, which rely heavily on oil imports, were particularly affected. Analysts warned that higher oil prices could fuel inflationary pressures and prompt central banks to adopt more aggressive monetary policies. South Korea, which sources 70% of its oil from the Middle East, faces heightened vulnerability to supply disruptions. The country’s reliance on Middle Eastern oil imports exacerbates concerns over potential economic fallout from the conflict. “There is growing concern over not only a military blockade of the Strait of Hormuz but also an insurance blockade,” noted KBFG Securities analysts. The KOSPI’s steep decline mirrored broader regional market weakness. Memory chip giants Samsung Electronics and SK Hynix, which had driven the index’s rally earlier in the year, fell 7.8% and 9.5%, respectively. Hyundai Motor, another key contributor to the index, dropped 8.3%.#iran #israel #strait_of_hormuz #south_korea #kospi

Asia markets rebound as oil plunges after Trump signals Iran war might end soon Asia-Pacific stock markets surged on Tuesday as oil prices plummeted and U.S. President Donald Trump hinted that the conflict with Iran could be nearing its end, sparking a regional recovery. South Korea’s Kospi index opened more than 5% higher, while Japan’s Nikkei 225 rose 1.7% and Australia’s S&P/ASX 200 gained 1.55% in early trade. The rebound followed a sharp drop in global oil prices, which fell below $90 per barrel after surging past $100 the previous day. The sharp decline in oil prices was driven by concerns over the potential resolution of tensions in the Strait of Hormuz, a critical shipping route for global oil supplies. Bob McNally, president of Rapidan Energy Group, noted that the closure of the strait had disrupted 20% of the world’s oil supply, marking the largest interruption in history. This contrasts with the Suez Crisis of 1956, when roughly 10% of global oil supplies were disrupted by the invasion of Egypt’s Sinai Peninsula by Britain, France, and Israel. The market rally also coincided with a strong performance in U.S. stocks, where the S&P 500 closed 0.83% higher, the Dow Jones Industrial Average gained 0.5%, and the Nasdaq Composite rose 1.38%. The gains followed a volatile session in which U.S. indices had earlier dropped as much as 1.5% amid fears of prolonged geopolitical tensions. In South Korea, the Kospi’s sharp rebound was accompanied by a 4% surge in the Kosdaq, a market for smaller-cap companies. Analysts attributed the rally to both the drop in oil prices and optimism that the Iran conflict could soon be resolved, reducing risks to global energy markets. Similar optimism fueled gains in Japan and Australia, where investors anticipated a broader easing of geopolitical pressures.#s_p_500 #donald_trump #strait_of_hormuz #rapidan_energy_group #kospi