Key facts
- The benchmark Korea Composite Stock Price Index (KOSPI) closed up 1.62 percent at 6,358.95.
- The KOSPI had fallen 5.12 percent on Monday after a record 18 percent surge on Friday.
- U.S. stocks advanced, with the Dow Jones Industrial Average rising 1.32 percent and the Nasdaq Composite climbing 2.13 percent.
- Amazon's strong earnings report contributed to gains in AI-related companies.
Seoul shares concluded trading on a higher note Tuesday, as retail investors actively purchased stocks following a substantial decline in the preceding session. The benchmark Korea Composite Stock Price Index (KOSPI) closed up 101.50 points, or 1.62 percent, at 6,358.95, after experiencing a volatile trading day and earlier falling to a low of 6,080.25. This recovery followed a significant 5.12 percent drop on Monday, which itself came after a record 18 percent surge on Friday.
Despite the gains in Seoul, broader market sentiment was tempered by persistent uncertainties surrounding artificial intelligence developments and the ongoing Middle East crisis. These concerns capped the index's upward momentum, even as U.S. stock markets posted overnight gains. The Dow Jones Industrial Average rose 1.32 percent to 53,178.41, and the tech-heavy Nasdaq Composite climbed 2.13 percent to 25,913.90. The positive performance in the U.S. was partly driven by Amazon's strong earnings report, which saw its shares gain 4.5 percent and boosted other companies poised to benefit from increased demand for AI technologies.