South Korean shares hit four-year high on hopes of US trade deal
South Korean benchmark rose on Tuesday to their highest level in four years, as optimism grew around U.S. trade negotiations ahead of an August 1 deadline for higher tariffs.
The benchmark KOSPI ended the session up 21.05 points, or 0.66%, at 3,230.57, its highest closing level since August 10, 2021.
Korean Finance Minister Koo Yun-cheol said on Tuesday he would seek a mutually beneficial trade deal when he meets U.S. Treasury Secretary Scott Bessent for talks this week, just days before an August 1 deadline expires to avoid punishing tariffs.
'Trade uncertainty is easing after the U.S. signed a deal with Europe and the possibility increased that the deadline will be extended for China,' said Seo Sang-young, an analyst at Mirae Asset Securities.
Among index heavyweights, chipmaker Samsung Electronics rose 0.28%, while peer SK Hynix gained 0.19%. Battery maker LG Energy Solution climbed 3.02%.
Hyundai Motor and sister automaker Kia Corp were down 0.23% and up 0.19%, respectively. Steelmaker POSCO Holdings shed 2.01%, while drugmaker Samsung BioLogics rose 1.97%.
Of the total 935 traded issues, 469 shares advanced, while 411 declined.
Foreigners were net buyers of shares worth 605.4 billion won ($434.46 million).
The won was quoted at 1,393.5 per dollar on the onshore settlement platform, 0.32% lower than its previous close at 1,389.1.
The most liquid three-year Korean treasury bond yield fell by 0.3 basis point to 2.457%, while the benchmark 10-year yield fell by 2.9 basis points to 2.832%.
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