FX.co ★ KOSPI Rebounds as Trump Pauses Tariffs

On Thursday, the benchmark KOSPI index surged by 5%, reaching approximately 2,409 points. This upturn followed a significant drop to a 17-month low the previous day. Investor sentiment was buoyed by President Trump's announcement of a 90-day pause on tariffs for all nations. The revised tariffs are reduced to 10% for countries opting not to retaliate, such as South Korea, replacing the earlier rates that went as high as 25%. Conversely, tariffs on China have been increased to a staggering 125%, a response to Beijing's retaliatory actions. Trump has accused China of market manipulation and unfair trade practices. Meanwhile, the market experienced a brief halt in program trading due to a sidecar trading curb triggered by the surge in KOSPI futures shortly after the market opened. Leading the gains were notable index stocks such as Samsung Electronics, which rose by 5.7%, SK Hynix that saw a 12.5% increase, LG Energy Solution with a 5.6% rise, and Hyundai Motor, up by 7.1%.