South Korean stocks experienced a significant decline on Monday, primarily driven by a drop in major tech shares. The Korea Composite Stock Price Index (KOSPI) fell by 3.98 percent to 5,222.67, with heavy foreign selling contributing to the downward trend.
The ongoing conflict in the Middle East, triggered by U.S.-Israeli strikes on Iran in late February, has heightened concerns about global oil supplies. The situation escalated as the Houthis launched missiles at Israel, leading to fears of further disruptions in oil supply and subsequent price hikes.
Amid efforts to negotiate an end to the conflict with Iran, U.S. President Donald Trump’s deployment of thousands of troops to the region has raised apprehensions about potential ground operations. Market leaders like Samsung Electronics and SK hynix saw declines of 3.9 percent and 5.75 percent, respectively.
Hyundai Motor and Kia, top automakers, also experienced drops of 5.71 percent and 4.24 percent, while companies like Samsung Biologics, Celltrion, Hanwha Aerospace, and Doosan Enerbility recorded declines in their stock values.
Despite the overall negative trend, LG Energy Solution and Samsung SDI witnessed modest gains, reflecting a mixed performance across different sectors. The local currency was trading at 1,513.2 won against the dollar, down 4.3 won from the previous session.
