On the 9th, the KOSPI fell and dropped below 5,800 points. After the United States and Iran agreed to a two-week cease-fire, profit-taking emerged following the previous day's surge, and instability in the Middle East persisted as Israel and Iran continued to show signs of conflict even after the cease-fire talks.
The KOSPI closed at 5,778.01, down 94.33 points, or 1.61%, from the previous session. After starting above 5,800 points, the KOSPI's intraday losses widened.
In the main board, individuals and institutions were net buyers, but foreigners were net sellers of about 1 trillion won, pulling the index down. Kang Jin-hyeok of Shinhan Investment & Securities said, "After the United States and Iran announced a cease-fire, the KOSPI jumped, and ahead of talks between the United States and Iran, caution deepened in the domestic market."
Gunfire in the Middle East has stopped, but uncertainty remains because it is a temporary cease-fire deal. With no complete end-of-war agreement, there are significant concerns that tensions could flare again during the negotiations between the two sides.
Experts emphasized that whether meaningful talks between the United States and Iran make progress will be a key variable. Because a full reopening of the Strait of Hormuz is unlikely to happen immediately, investor sentiment is expected to remain shaky in financial markets.
With the Iran war briefly paused and earnings season underway, the market appeared more sensitive to results. While the market fell, APR, SK Telecom, and Samsung E&A rose noticeably; all were stocks that analysts said could deliver an earnings surprise.
By contrast, Samsung Electronics and SK hynix, where profit-taking emerged, each fell more than 3%. Hyundai Motor and Kia, along with other Hyundai Motor Group shares, also dropped sharply.
The won also weakened. The won-dollar exchange rate ended weekly transactions at 1,482.5 won, up 11.9 won.
The KOSDAQ also weakened. The KOSDAQ index closed at 1,076.00, down 13.85 points, or 1.27%. While some biotech names such as Sam Chun Dang Pharm and Kolon TissueGene rose, most large caps fell.