South Korean shares hit record high on export surge, Nvidia optimism

SEOUL: Round-up of South Korean financial markets: 

South Korean shares rose sharply on Monday to record highs, driven by chip-led surge in exports and optimism over potential AI cooperation with Nvidia.

The benchmark KOSPI climbed 389.34 points, or 4.59%, to 8,865.49, as of 0311 GMT, hitting its highest level on record.

A “sidecar” trading curb was activated during the session after sharp gains in futures, briefly halting programme trading.

South Korea’s exports grew more than expected in May at the strongest annual rate in over four decades, as a global boom in AI investment drove chip sales to a record, swelling optimism on the trade-reliant economy and its world-beating stock rally.

Shares in South Korean tech firms rallied as expected meetings between Nvidia CEO Jensen Huang and Korean executives fuelled hopes of tie-ups in AI and robotics.

Chipmaker Samsung Electronics rose 9.70%, while peer SK Hynix gained 2.01%.

Hyundai Motor rose 5.05%, while e-commerce firm Naver surged 15.6%.

Among other index heavyweights, battery maker LG Energy Solution slid 0.11%, while steelmaker POSCO Holdings shed 2.13%.

Drugmaker Samsung BioLogics rose 1.61%.

Of the total 923 traded issues, 195 shares advanced, while 713 declined. Foreigners were net sellers of shares worth 2 trillion won ($1.32 billion).

The won was quoted at 1,516.3 per dollar on the onshore settlement platform, 0.76% lower than its previous close at 1,504.8.

In money and debt markets, June futures on three-year treasury bonds lost 0.13 point to 103.20.

The most liquid three-year Korean treasury bond yield was flat at 3.738%, while the benchmark 10-year yield was flat at 4.071%.‑Reuters