South Korean stocks saw a decline on Thursday morning as investors remained cautious due to fluctuating oil prices resulting from the US-Iran conflict. The benchmark Korea Composite Stock Price Index (KOSPI) dropped by 0.78 percent to 5,566.46 by late morning. The International Energy Agency’s decision to release oil reserves aimed at alleviating supply disruptions at the Strait of Hormuz did little to ease investor concerns about potential long-term instability in the region.
Top tech companies like Samsung Electronics and SK hynix experienced declines of 1.37 percent and 1.36 percent, respectively. Brokerage firms also faced losses, with Mirae Asset Securities falling by 1.68 percent and Kiwoom Securities by 0.33 percent. Conversely, refiners such as SK Innovation and S-Oil witnessed gains of 2.59 percent and 1.92 percent, respectively.
LG Energy Solution, a prominent battery manufacturer, saw a slight increase of 0.54 percent, while Samsung SDI recorded a decrease of 0.62 percent. The Korean won was trading at 1,478.9 won against the US dollar, marking a decrease of 12.4 won from the previous session.
In response to the economic uncertainties arising from the Middle East crisis, Finance Minister Koo Yun-cheol announced that the government would extend full support to businesses through various measures. Emphasizing the significance of startups, Koo pledged enhanced support and incentives to nurture them into global unicorns. SK Group Chairman Chey Tae-won, leading the Korea Chamber of Commerce and Industry, expressed the business community’s readiness to collaborate with the government’s initiatives.
