South Korean stocks saw a notable surge, with the benchmark KOSPI rising 2.66% to close at 2,770.84, and the small-cap Kosdaq advancing 1.34% to 750.21. This rise was attributed to the election of an opposition party leader who has vowed to enhance the value of South Korea’s stock market. John Cho, Korea equity portfolio manager at J.P. Morgan Asset Management, noted that the election pledge includes amending commercial laws to protect minority shareholders.
This move is expected to encourage more value-accretive decisions by company boards, prompting a positive outlook on both domestic and international trade. Chinese and Hong Kong markets were less buoyant. Mainland China’s index rose slightly by 0.43% to 3,868.74, while Hong Kong’s index added 0.6% to close at 23,654.03.
These modest gains came after comments from U.S. President Donald Trump suggested a potential dialogue with Chinese President Xi Jinping to ease the ongoing trade stalemate. Japan’s Nikkei 225 climbed 0.8% to end the day at 37,747.45, with the broader Topix index up 0.51% to 2,785.13. Australia’s ASX 200 rose 0.89% to close at 8,541.80, bolstered by gains in the energy, financial, and mining sectors.
India’s key indices rose modestly, with the Sensex gaining 0.29% as of 2 p.m. Indian Standard Time.
Stocks surge after Lee’s victory
This followed a tech rally and a strong U.S. jobs report.
Taiwan’s benchmark Taiex index surged 2.15% to hit 21,581.85, led by gains in technology, energy, and basic materials sectors. Shares of Asia-Pacific steelmakers mostly rose following the U.S. decision to double tariffs on most imported steel and aluminum to 50%. Chinese state-owned steel manufacturers posted gains, and Japanese and South Korean steel stocks also climbed.
In India, shares of steelmakers were mixed. Asia-Pacific tech giants generally saw positive movements following Wall Street’s tech-driven gains. South Korea’s SK Hynix and Samsung Electronics posted significant increases, as did Taiwan’s Foxconn.
The tech-heavy index in Hong Kong also rose, driven by substantial gains in leading tech companies. Spot gold prices edged up 0.24% to $3,359.87 per ounce as of 12:32 p.m. Singapore time, amid ongoing trade tensions, reinforcing its status as a safe-haven asset. The South Korean won appreciated by 0.43% against the U.S. dollar following the election results.
Other Asian currencies had mixed performances, with the Japanese yen gaining slightly and the Australian dollar dipping.
