04.08.202607:01:36UTC+00South Korean Shares Close Higher

The benchmark KOSPI advanced 1.62% on Tuesday to close at 6,359, partially recovering from the previous session’s sharp losses as investors rotated back into oversold stocks. Sentiment was further supported by overnight gains on Wall Street, where strong earnings from Amazon and a rally in major AI-related technology names bolstered risk appetite. Samsung Electronics and SK hynix edged up 0.21% and 0.64%, respectively, while notable outperformers included SK Square (3.41%), LG Energy Solution (3.96%), HD Hyundai Heavy Industries (2.66%), and Hanwha Aerospace (9.25%). Gains were tempered, however, by persistent uncertainty surrounding AI-related valuations after the recent technology-led selloff, as well as mixed signals on US-Iran negotiations that limited broader risk-taking. On the macro front, South Korea’s headline inflation came in softer than expected, alleviating some immediate price pressures. Nonetheless, firmer core inflation underpinned expectations that the Bank of Korea will maintain a cautious policy stance.