Seoul shares open 2% higher amid Israel-Iran ceasefire
South Korean stocks opened 2 percent higher Tuesday over eased regional tensions in the Middle East after US President Donald Trump announced that Israel and Iran have agreed on a ceasefire to end their conflict.
The benchmark Korea Composite Stock Price Index jumped 60.32 points, or 2 percent, to 3,074.79 in the first 15 minutes of trading.
Trump made the announcement after Iran fired short- and medium-range ballistic missiles at Al Udeid Air Base in Qatar -- the largest US military installation in the Middle East -- in response to America's attack on three key nuclear sites in Iran over the weekend.
The president said that without the ceasefire, the war could have gone on for years and destroyed the entire region.
Most blue chips benefited from the announcement, with market heavyweight Samsung Electronics rising 3.53 percent and chip rival SK hynix soaring 5.97 percent.
Top bio company Samsung Biologics gained 1.01 percent, and leading battery manufacturer LG Energy Solution climbed 2.89 percent. Top automaker Hyundai Motor added 2.23 percent.
In contrast, refiners and internet portal operators retreated. Leading refiner SK Innovation plummeted 3.02 percent, and top internet portal firm Naver fell 1.9 percent.
The local currency was trading at 1,366.55 won against the greenback at 9:15 a.m., up sharply by 17.75 won from the previous session. (Yonhap)
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Korea Herald
an hour ago
- Korea Herald
Trump says Iran-Israel ceasefire in force
JERUSALEM (AFP) -- US President Donald Trump said a ceasefire between Iran and Israel was in force on Tuesday, urging both sides to "not violate it" on the 12th day of the war between the two arch-foes. "THE CEASEFIRE IS NOW IN EFFECT. PLEASE DO NOT VIOLATE IT!" he wrote on his Truth Social platform. The US leader had earlier said the truce would be a phased 24-hour process beginning at around 4 a.m. Tuesday, with Iran unilaterally halting all operations first. He said Israel would follow suit 12 hours later. Israeli rescuers said four people were killed in an Iranian strike, after state media in the Islamic republic reported waves of missiles were headed toward Israel. Neither Iran nor Israel has confirmed the agreement touted by Trump on ending the conflict that has killed hundreds in Iran and two dozen in Israel. Only hours before Trump's latest announcement, Iranian Foreign Minister Abbas Araghchi had said, "As of now, there is NO 'agreement' on ceasefire or cessation of military operations." "However, provided that the Israeli regime stops its illegal aggression against the Iranian people no later than 4 am Tehran time, we have no intention to continue our response afterwards," he said on social media platform X. But Israel's army said sirens were activated in northern Israel -- where moments before, Iran's state broadcaster IRIB reported a wave of missiles was headed. At least four people were killed in the multi-wave Iranian missile attack shortly before the staggered ceasefire announced by Trump was meant to enter into force, emergency services and the military said. The Magen David Adom rescue service said three people were pronounced dead at the scene of a strike in the southern city of Beersheba, while a fourth was added in an update to its figures. Explosions also continued to rock Tehran overnight, with blasts in the north and center of the Iranian capital described by Agence France-Presse journalists as some of the strongest since the conflict broke out. Any cessation in hostilities would come as a huge relief to world leaders frantic about an escalation in violence igniting a wider conflagration. The adversaries had been swapping missile fire since Israel carried out surprise "preemptive" strikes against Iran on June 13, targeting nuclear and military sites, and prompting Trump to warn of a possible "massive" regional conflict. The US leader's truce announcement came hours after Iran launched missiles at the largest US military facility in the Middle East -- Al Udeid Air Base in Qatar -- in a move Trump shrugged off as "very weak." Calling for a de-escalation, Trump said Tehran had given advance notice of the barrage. Iran's National Security Council confirmed having targeted the base "in response to the US aggressive and insolent action against Iran's nuclear sites and facilities." But it added that the number of missiles launched "was the same as the number of bombs that the US had used" -- a signal that it had calibrated its response to be directly proportional rather than escalatory. "This was calibrated and telegraphed in a way that would not result in any American casualties, so that there is an off ramp for both sides," Ali Vaez, a senior advisor at the International Crisis Group, told AFP. The offensive came after the United States joined its ally Israel's military campaign against Iran, attacking an underground uranium enrichment centre with massive bunker-busting bombs and hitting two other nuclear facilities overnight Saturday into Sunday. As international concern mounted that Israel's campaign and the US strikes could ignite a wider conflict, French President Emmanuel Macron insisted that "the spiral of chaos must end," while China warned of the potential economic fallout. Iran said its assault in Qatar wasn't targeting the Middle Eastern neighbor, but the government in Doha accused Tehran of "blatant aggression" and claimed its right to a "proportional" response. Iran's state media quoted the Revolutionary Guard Corps announcing that six missiles had hit Al Udeid, which had been evacuated beforehand, according to the Qataris. The broadside was made up of "short-range and medium-range ballistic missiles," a US defence official said. AFP reporters heard blasts in central Doha and Lusail, north of the capital, on Monday evening, and saw projectiles moving across the night sky. Iranians gathered in central Tehran to celebrate, images on state TV showed, with some waving the flag of the Islamic republic and chanting "Death to America." Qatar earlier announced the temporary closure of its airspace in light of "developments in the region," while the US embassy and other foreign missions warned their citizens to shelter in place. Israeli strikes on Iran have killed more than 400 people, Iran's health ministry has said. Twenty-four people have died in Iran's attacks on Israel, according to official figures.
Korea Herald
2 hours ago
- Korea Herald
Kospi soars to 2025 high amid waning geopolitical fears
Chip stocks rally, with SK hynix market cap topping W200tr for first time South Korea's benchmark stock index soared Tuesday, reaching a new yearly high during intraday trading, as the market breathed a sigh of relief amid easing fears of an immediate escalation in Middle East tensions. The Korean won also strengthened against the US dollar. Following US President Donald Trump's announcement that Iran and Israel had agreed to a ceasefire, the Kospi posted solid gains, surpassing the 3,100-point threshold for the first time in over 3 1/2 years, since September 2021. As of 2 p.m., the index stood at 3,095.94, up 81.47 points, or 2.7 percent, from the previous session. The Kospi opened at 3,061.14, tracking overnight gains on Wall Street. Although it briefly dipped, the index soon regained strength, hitting the 3,100 mark at around 12:20 p.m. and hovering around that level as of press time. As of 2 p.m., offshore investors were net buyers of Kospi shares worth 335.1 billion won ($245.7 million), while institutional investors bought 250.9 billion won. Retail investors were the sole net sellers, offloading 546 billion won worth of stocks to lock in profits. The Kospi has maintained a near-uninterrupted rally since June 2, driven by renewed foreign inflows and pro-growth optimism that have buoyed investor sentiment across the board. Blue-chip stocks surged during intraday trading. Tech giant Samsung Electronics rose 3.62 percent, while chipmaking rival SK hynix jumped 7.13 percent as of 2 p.m. SK hynix's market cap climbed to a record high of 203.11 trillion won, surpassing the 200 trillion won mark for the first time — an 80 trillion won increase from 126.6 trillion won in late 2023. Bio stocks also performed well, with Samsung Biologics up 0.81 percent and Celltrion gaining 1.87 percent. Leading battery maker LG Energy Solution advanced 0.81 percent, while KB Financial Group jumped 3.81 percent. Amid the bullish momentum, the secondary Kosdaq index also surpassed the 800-point threshold, reaching as high as 801.25 during intraday trading. It was the first time the tech-heavy index hit the milestone in 11 months, since August 2024. 'The uncertainty triggered by the Middle East tensions has eased in the stock market,' said Kiwoom Securities analyst Han Ji-young. 'From a supply-demand perspective, a key factor going forward will be whether foreign investors, who have driven the Kospi rally with net purchases of nearly 5 trillion won since June, begin to take profits.' As demand for the safe-haven dollar subsided, the Korean won gained ground. The won was quoted at 1,364.34 per dollar as of 2 p.m., appreciating more than 17 won from the previous after-hours session's close. On Monday, the won had weakened to the 1,380 level against the dollar, as investors sought safe-haven assets amid geopolitical risks. The won opened Tuesday at 1,369 per dollar and continued to trade around that level through the afternoon. The US dollar index, a key gauge of the greenback's strength, also retreated to the mid-97 range, reversing much of the previous risk-off sentiment and returning to levels seen a week earlier, before Israel-Iran tensions began to escalate.
Korea Herald
2 hours ago
- Korea Herald
GS Caltex launches feasibility study for biofuel project in Indonesia
GS Caltex, a South Korean oil refiner, announced Tuesday that it is pursuing a new project in Indonesia aimed at recovering biofuel resources and reducing greenhouse gas emissions by processing palm oil mill waste. The company said it has been selected for a government-backed initiative to support a full feasibility study for an international greenhouse gas reduction project, with plans to build an evaporative concentration facility to extract oil from palm oil mill effluent, a liquid byproduct of palm oil production. GS Caltex plans to conduct a six-month evaluation of the project's feasibility and potential impact on emissions. Based on the results, the company will decide the scope and timing of its investment. If approved, the project would be the first evaporative concentration facility in Indonesia to process the palm oil waste, the company said. 'Evaporative concentration of palm oil mill effluent is considered simpler than existing methane capture methods and can reduce emissions more effectively by preventing decomposition,' a GS Caltex official said. 'Following the feasibility study, we will consider moving forward with the project at palm oil farms in Indonesia.' The company expects the project to provide a new source of biofuel, particularly for sustainable aviation fuel, which is experiencing growing demand. Jurisdictions such as Korea, the European Union and the United States plan to increasingly require airlines to blend bio-based fuel into their operations. According to GS Caltex, each facility could also reduce emissions equivalent to the amount absorbed annually by 14 million 30-year-old pine trees by replacing the traditional practice of leaving palm oil waste to decay in open ponds, which releases large volumes of methane. Methane has a global warming potential about 28 times greater than carbon dioxide over a 100-year period.
