Key facts
- Seoul shares opened lower Tuesday, tracking Wall Street losses due to Middle East tensions and AI sector uncertainty.
- The KOSPI index fell 37.87 points, or 0.56 percent, to 6,769.06 at the opening bell.
- The index had previously plunged 9 percent amid U.S.-Iran standoff concerns.
- The Dow Jones Industrial Average fell 0.26 percent, and the Nasdaq Composite dropped 1.55 percent overnight.
- SK hynix's American depositary shares fell 9.3 percent overnight, contributing to investor sentiment.
- Samsung Electronics and SK hynix plunged 10.7 percent and 15.37 percent, respectively, on Monday.
Seoul shares opened lower Tuesday, mirroring overnight losses on Wall Street as investors grappled with heightened Middle East tensions and uncertainty surrounding artificial intelligence sectors. The benchmark Korea Composite Stock Price Index (KOSPI) declined 37.87 points, or 0.56 percent, to 6,769.06 at the opening bell.
This followed a significant 9 percent plunge in the previous session, triggered by renewed concerns over the U.S.-Iran standoff and profit-taking in technology stocks. Market bellwether Samsung Electronics fell 10.7 percent, and SK hynix dropped 15.37 percent on Monday. The weakness extended to U.S. trading, with SK hynix's American depositary shares falling 9.3 percent overnight.
Overnight, the Dow Jones Industrial Average lost 0.26 percent to 52,498.64, while the tech-heavy Nasdaq Composite dropped 1.55 percent to 25,873.18. Investors' concerns about the U.S.-Iran standoff over the Strait of Hormuz, coupled with the slump in SK hynix's U.S.-listed shares, sapped overall investor sentiment.