The **South Korean stock market** experienced a downturn on Tuesday, with **Seoul shares opening lower**. This movement mirrored **overnight losses on Wall Street**, as **investor concerns** persisted regarding escalating **geopolitical uncertainty in the Middle East**.
Following an initial drop of 0.56 percent, the **benchmark Korea Composite Stock Price Index (KOSPI)** recorded a further decline of 27.89 points, or 0.41 percent, settling at 6,779.04 by 9:15 a.m. local time.
This Tuesday’s performance comes after a sharp **9 percent drop in the KOSPI during the previous trading session**, driven by renewed anxieties surrounding the **US-Iran standoff** and broader **geopolitical tensions**.
Beyond geopolitical factors, growing **uncertainty within the artificial intelligence (AI) sectors** also contributed to the market pressure, prompting **investors to sell off major tech heavyweights**.
**Overnight trading on Wall Street** saw the **Dow Jones Industrial Average** decline by 0.26 percent to 52,498.64, while the **tech-heavy Nasdaq Composite** experienced a more significant drop of 1.55 percent, closing at 25,873.18.
The persistent **standoff between the United States and Iran regarding the Strait of Hormuz**, combined with a notable **slump in SK hynix’s US-listed American Depositary Shares (ADS)** overnight, significantly undermined **investor confidence**.
**Key South Korean tech stocks** faced considerable pressure on Monday, with **SK hynix shares plunging 15.37 percent** and **Samsung Electronics declining 10.7 percent**. This downturn extended to US markets, where **SK hynix’s American depositary shares (ADS) fell an additional 9.3 percent overnight**.
Back in **Seoul**, the performance of **large-cap stocks** presented a mixed picture.
**Leading chip manufacturer SK hynix** saw a further modest dip of 0.27 percent. The **defense sector** also faced headwinds, as **Hanwha Aerospace shares plummeted 6.7 percent**, while **automotive giant Hyundai Motor** recorded a 3.9 percent decrease.
Further highlighting the sector’s struggles, **LIG Defense and Aerospace** experienced an 8.4 percent decline. Additionally, **leading battery manufacturer LG Energy Solution** saw its shares fall by 2.1 percent.
However, there were some positive movements among **market gainers**. **Market bellwether Samsung Electronics** managed a slight recovery, inching up 0.2 percent, and **shipping firm HMM** posted a notable climb of 3.07 percent.
