Key facts
- South Korean stocks gained ground late Wednesday morning, with the KOSPI index rising 0.13 percent.
- Major tech companies in Seoul traded lower, mirroring a U.S. market downturn.
- Retail investors supported market heavyweights, helping the index turn positive after an initial decline.
- Nvidia's $25 billion debt sale contributed to investor caution.
- Samsung Electronics fell 1.82 percent, while SK hynix rose 1.34 percent.
- The Korean won weakened against the U.S. dollar, trading at 1,513.4 won.
South Korean stocks edged higher late Wednesday morning, recovering from an earlier dip, despite a continued slide in major tech companies. The benchmark Korea Composite Stock Price Index (KOSPI) rose 11.31 points, or 0.13 percent, to 8,737.91, as retail investors bought up market heavyweights.
Major tech firms traded lower, mirroring a downturn in the U.S. market. Samsung Electronics fell 1.82 percent, while rival SK hynix gained 1.34 percent. Other key companies also saw mixed trading: Hyundai Motor dropped 2.66 percent, KB Financial declined 1.63 percent, and Hanwha Aerospace advanced 5.75 percent.
Investor caution was evident due to the upcoming U.S. Federal Reserve rate-setting meeting and Nvidia's announcement of its first debt sale in five years, valued at $25 billion. The Korean won also weakened against the U.S. dollar, trading at 1,513.4 won.
Earlier in the week, Seoul stocks had risen, driven by optimism surrounding a preliminary U.S.-Iran peace deal that could lead to the reopening of the Strait of Hormuz. Oil prices stabilized as traders awaited further details on the deal.