Summary
- The KOSPI closed at 5,642.21, up 1.59%, amid expectations for negotiations between the United States and Iran.
- Despite rising oil prices, institutions drove the rally with net buying of 2.7334 trillion won, while foreigners and individuals posted heavy net selling.
- The KOSDAQ rose 3.4%, with notable single-stock moves including L&F up 16.24%, Samchundang Pharm up 19.12%, and Pearl Abyss rebounding 23.34%.
Forecast Trend Report by Period
KOSPI ends at 5,642.21, up 1.59%
Trump: “Iran gave us a gift… related to oil and gas”
The KOSPI extended gains for a second straight session as expectations for negotiations between the United States and Iran came into focus despite rising international oil prices. However, the advance pared as U.S. President Donald Trump’s shifting remarks weighed on sentiment.
On the 25th, the KOSPI closed at 5,642.21, up 88.29 points (1.59%) from the previous session.
The rally was attributed to growing hopes for an end to the fighting after President Trump signaled willingness to pursue negotiations to resolve the Middle East war.
In a post on Truth Social, a social media platform, Trump said: “The United States and Iran have had very good and productive talks over the past two days to fully and comprehensively resolve hostilities in the Middle East,” adding, “In light of the deep, specific and constructive atmosphere of the talks, I instructed the Department of War (the Pentagon) to delay for five days all military attacks on Iran’s power plants and energy infrastructure.”
At the swearing-in ceremony at the White House for incoming Secretary of Homeland Security Mark Wayne Mullin, Trump also said, “In fact, they (Iran) gave us a gift,” adding it was “related to oil and gas.”
He continued, “It was a really important gift. It’s meaningful to me in that we are negotiating with the right people,” adding, “(It) is related to shipments through the Strait of Hormuz.”
Still, as Trump pursued negotiations and pressure in parallel—such as expectations that he would soon order the deployment of airborne troops to the Middle East—the index’s intraday gains narrowed.
Oil prices remained volatile. Brent crude futures for May delivery settled at $104.49 a barrel, up 4.6% from the prior session. U.S. West Texas Intermediate (WTI) futures for May delivery settled at $92.35 a barrel, up 4.8%.
In the main board market, institutions were net buyers of 2.7334 trillion won, driving the index higher. Foreign investors and individuals posted net sales of 1.0397 trillion won and 1.9966 trillion won, respectively.
Most KOSPI heavyweights rose, except Samsung Electronics. SK hynix gained 0.91%. The company said it filed a registration statement with the U.S. Securities and Exchange Commission (SEC) for a public offering to list American Depositary Receipts (ADRs).
Hyundai Motor (1.83%), SK Square (1.68%), Samsung Biologics (2.46%), Hanwha Aerospace (4.87%), Doosan Enerbility (2.5%) and KB Financial (1.7%) also advanced. Samsung Electronics and its preferred shares, Samsung Electronics Pref., fell, while Kia ended flat.
L&F surged 16.24% on news of a 1.6 trillion-won cathode materials supply contract and brokerages’ upbeat earnings outlook.
The KOSDAQ also rose for a second straight session. The index gained 38.11 points (3.4%) to 1,159.55. In the KOSDAQ market, foreigners and institutions were net buyers of 397.0 billion won and 12.7 billion won, respectively, while individuals were net sellers of 405.5 billion won.
Samchundang Pharm, the KOSDAQ’s No. 1 by market cap and a so-called “emperor stock” (1 million won per share), extended its rally with a 19.12% jump. Buying interest appeared to be flowing in on expectations for the oral insulin it is currently developing.
Kakao Games rose 1.36%. The company disclosed that its controlling shareholder is set to change from Kakao to Line Yahoo through the issuance of 240.0 billion won in new shares and 60.0 billion won in convertible bonds (CBs), among other measures. Pearl Abyss rebounded 23.34% after news that global sales of “Crimson Desert” surpassed 3 million copies.
Hanpass, a financial platform specialized for foreign customers, closed up 43.16% versus its IPO price (19,000 won) on its first day of trading on the KOSDAQ.
The won-dollar exchange rate rose. In the Seoul foreign exchange market, the won fell to 1,499.7 per dollar in daytime trading, down 4.5 won from the previous session.
Noh Jung-dong, Hankyung.com reporter dong2@hankyung.com
Korea Economic Daily
hankyung@bloomingbit.ioThe Korea Economic Daily Global is a digital media where latest news on Korean companies, industries, and financial markets.
