South Korean stocks closed higher for the second consecutive session on Wednesday, driven by bargain hunting amidst recent market volatility stemming from US-Iran tensions. The Korean won also strengthened against the US dollar.
The Korea Composite Stock Price Index (KOSPI) increased by 77.36 points, or 1.4 percent, to finish at 5,609.95, after reaching an intraday high of 5,746.36.
Trading volume was robust, with 1 billion shares changing hands, valued at 26.3 trillion won ($17.9 billion). Advancing stocks significantly outnumbered declining ones, with 701 gainers versus 198 losers.
Individual investors were net sellers, offloading 508 billion won worth of shares, while foreign investors sold a net 255.4 billion won. Institutions were net buyers, purchasing 781 billion won.
The South Korean stock market has experienced turbulence this week due to the escalating Middle East crisis, with a 5.96 percent dip on Monday followed by a 5.35 percent rebound on Tuesday.
Investors seized the opportunity to acquire blue-chip stocks following the recent market correction, closely monitoring the situation in the Strait of Hormuz, where maritime traffic has been significantly impacted by the ongoing conflict.
The KOSPI reached a record high of 6,307.27 on Feb. 26, a substantial increase from 4,309.63 recorded on the first trading day of 2026. This surge was largely fueled by chipmakers amid the global artificial intelligence boom, before increased volatility arose due to US-Iran tensions.
“Despite lingering geopolitical tensions in the Middle East, the stock market is gradually recovering from these concerns,” noted Lee Kyoung-min, a researcher at Daishin Securities.
In Seoul trading, tech giant Samsung Electronics saw a 1.12 percent increase to 190,000 won, while SK hynix gained 1.81 percent to 955,000 won.
Brokerage firms exhibited bullish sentiment amid signs of easing market fears related to the US-Iran situation. Mirae Asset Securities surged 10.53 percent to 71,400 won, and Kiwoom Securities climbed 5.51 percent to 450,000 won.
Battery manufacturers showed mixed performance, with LG Energy Solution rising 0.65 percent to 369,500 won, while Samsung SDI declined 0.87 percent to 400,000 won.
Leading pharmaceutical company Samsung Biologics increased by 4.08 percent to 1,657,000 won, and Celltrion rose 1.46 percent to 209,000 won.
