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Kospi shoots up 2% as Trump delays EU tariffs

Published: 26 May. 2025, 19:14

A Hana Bank trading room in central Seoul shows the Kospi closing at 2,644.40 on May 26. [YONHAP]

Korean stocks finished sharply higher Monday, driven by gains in tech shares, as investor sentiment was buoyed by U.S. President Donald Trump's extension of the deadline for imposing sweeping tariffs on the European Union. The local currency rose against the U.S. dollar.

The Kospi added 52.31 points, or 2.02 percent, to close at 2,644.4, ending a two-day losing streak.

It marked the highest level since Feb. 24, when the index finished at 2,645.27.

Trade volume was moderate at 374.09 million shares worth 8.26 trillion won ($6.05 billion), with winners beating losers 633 to 260.

Institutions and foreign investors bought a net 416.98 billion won and 102.16 billion won worth of stocks, respectively, while individuals sold 500.82 billion won worth of shares.

The index opened higher and extended further gains on news that Trump said he would delay imposing 50 percent tariffs on imports from the EU until July 9.

But concerns linger over the U.S. tariff policies, as Trump threatened to roll out 25 percent tariffs by the end of next month on smartphones made by Apple, Samsung Electronics and other companies if they are not manufactured in the United States.

Tech shares led the upturn of the index.

The new line of Samsung Galaxy S25 phones, with advanced camera and artificial intelligence capabilities, are unveiled at a media preview event in San Jose on Jan. 21, 2025. [AP/YONHAP]

Market bellwether Samsung Electronics rose 0.92 percent to 54,700 won, and its rival SK hynix advanced 1.5 percent to 203,000 won.

Major battery maker LG Energy Solution surged 3.73 percent to 278,000 won, and No. 2 battery maker Samsung SDI soared 3.62 percent to 166,000 won.

Leading biotech firm Samsung Biologics spiked 2.66 percent to 1.04 million won, and Celltrion edged up 0.2 percent to 153,000 won.

Top carmaker Hyundai Motor added 1.11 percent to 181,900 won, and its sister Kia Motors went up 1.15 percent to 88,100 won.

Major chemical firm LG Chem climbed 12.91 percent to 187,700 won, and No. 1 steelmaker Posco Holdings jumped 3.43 percent to 241,500 won.

Defense giant Hanwha Aerospace increased 0.36 percent to 833,000 won, and leading financial firm KB Financial moved up 3.03 percent to 102,000 won. Top online portal operator Naver rose 2.68 percent to 188,000 won.

The local currency was quoted at 1,364.4 won against the greenback at 3:30 p.m., up 11.2 won from the previous session.

Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasurys rose 1 basis point to 2.348 percent, and the return on the benchmark five-year government bonds added 0.2 basis point to 2.504 percent.

YONHAP