FX.co ★ South Korean Shares Rebound on Tech Gains and FX Relief

On Monday, the benchmark KOSPI index rose by 1.2%, reaching approximately 3,427.1, as it bounced back from the significant losses experienced in the prior trading session. This rebound was spurred by gains among heavyweight stocks and waning concerns regarding the US–Korea foreign exchange discussions. Investors engaged in bargain-hunting, with the recovery spearheaded by prominent tech and automotive stocks. Samsung Electronics saw an increase of 1.8%, and SK hynix surged by more than 3.4%, while Hyundai Motor posted a 0.5% gain. The financial sector also contributed positively, as KB Financial Group ascended by 2.3%, and Naver surged by 7.8%, bolstering the momentum in internet stocks. Further optimism stemmed from updates in the US–Korea financial discussions, with the presidential office indicating that Washington is unlikely to categorize Seoul as a currency manipulator. These statements helped alleviate fears of additional trade or foreign exchange tensions, creating a more stable environment for risk-taking and sustaining speculation that a potential currency swap line with the US might offer support against ongoing trade uncertainties.