02.09.202502:16:04UTC+00South Korean Shares Rise on Tariff Relief and Regional Optimism

The benchmark KOSPI index advanced by 0.7% on Tuesday to approximately 3,165, recovering from recent losses sustained over the last two days. This was largely due to a decrease in trade-related concerns and heightened optimism within the region that bolstered market sentiment. In a significant legal development, a U.S. federal appeals court determined that the majority of President Trump's widespread tariffs were illegal, as they exceeded the president's authority. However, the enforcement of this ruling has been deferred until mid-October to allow time for a Supreme Court appeal. This decision has alleviated some uncertainties surrounding U.S. trade policy and provided a boost to export-focused stocks. Further positive momentum arose from the Shanghai Cooperation Organization summit held in Tianjin, where encouraging signs of regional cooperation prompted increased risk-taking. On the domestic front, inflation for August slowed to 1.7%, marking a nine-month low, which, while providing some support, was overshadowed by wider external factors. In corporate news, technology and internet stocks saw gains, with Samsung Electronics rising by 2.3%, SK Hynix by 1.6%, and Naver by 4.6%. Conversely, shares in sectors such as batteries and automobiles, including LG Energy Solution and Hyundai Motor, declined by 0.7% and 0.9%, respectively.