South Korean stocks close at record high as chip earnings and GDP surprise boost sentiment South Korean stocks closed at a fresh record high on Thursday, April 23, 2026, as strong semiconductor earnings and an unexpectedly robust first-quarter GDP reading lifted investor sentiment despite ongoing geopolitical tensions. The benchmark Korea Composite Stock Price Index (KOSPI) rose 57.88 points, or 0.9 percent, to close at 6,475.81 — its highest level ever. This marked the third consecutive session of record closes for the index, which had previously surpassed its all-time high earlier in the week. The rally was driven by gains in major chipmakers. Samsung Electronics shares climbed 3.22 percent to close at 224,500 won, setting a new record high. SK hynix also reported record first-quarter earnings, with its shares rising 0.16 percent to 1,225,000 won, reinforcing expectations for sustained AI-driven memory demand. The positive market reaction was further supported by economic data showing South Korea’s real GDP expanded 1.7 percent in the first quarter of 2026 — nearly double the Bank of Korea’s earlier forecast of 0.9 percent and the fastest quarterly growth in five and a half years. The surge was attributed to stronger-than-expected semiconductor demand. Investor sentiment was also buoyed by the United States’ decision to extend its ceasefire with Iran indefinitely, which reduced immediate fears of broader regional conflict. However, analysts noted that tensions remain elevated in the Strait of Hormuz, where a U.S. Blockade of Iranian ports continues and Iranian forces have seized container ships, contributing to global oil price pressures. While technology shares advanced, other sectors showed weakness. Battery-related stocks declined after a recent rally, with LG Energy Solution shares falling 3.72 percent to 466,500 won and Samsung SDI dropping 4.40 percent to 630,000 won. Auto shares also retreated, with Hyundai Motor shares slipping 1.66 percent to 532,000 won, as the company reported a 30.8 percent year-on-year decline in first-quarter operating profit to 2.51 trillion won, citing U.S. Auto tariffs, exchange-rate-related warranty costs, and weaker global demand amid the Iran conflict. Meanwhile, the KOSDAQ index fell 0.58 percent to close at 1,174.31, reflecting divergent performance between the blue-chip KOSPI and the tech-heavy secondary market. The record close underscores the resilience of South Korea’s export-driven economy, particularly its semiconductor sector, which continues to benefit from global AI infrastructure investments even amid geopolitical uncertainty. Key Takeaways – KOSPI closed at a record 6,475.81, up 0.9 percent, marking three straight sessions of all-time highs. – Samsung Electronics and SK hynix led gains, both reaching record closing prices on strong chip earnings. – First-quarter GDP grew 1.7 percent — the fastest in 5.5 years — exceeding forecasts and reinforcing economic resilience. – Battery and auto shares declined despite the broader market rally, reflecting sector-specific headwinds. – Geopolitical risks persist in the Strait of Hormuz, though the U.S.-Iran ceasefire extension eased immediate market fears. Frequently Asked Questions What caused the KOSPI to reach a record high? The KOSPI reached a record high due to strong earnings from semiconductor giants Samsung Electronics and SK hynix, combined with a better-than-expected first-quarter GDP growth of 1.7 percent, which signaled economic resilience despite regional tensions. Did the U.S.-Iran ceasefire impact the stock market? Yes, the indefinite extension of the U.S. Ceasefire with Iran improved investor sentiment by reducing fears of escalated conflict, although ongoing tensions in the Strait of Hormuz and related oil price pressures remain a concern. Why did battery and auto stocks fall while the overall market rose? Battery stocks retreated after a recent speculative rally tied to electric vehicle expectations, while auto shares declined due to falling profitability from U.S. Tariffs, exchange-rate volatility, and weaker global demand — factors that outweighed revenue gains in the sector. Is the KOSPI likely to continue rising? While the index has shown strong momentum driven by tech and economic fundamentals, future performance will depend on global chip demand, developments in the Iran situation, and the trajectory of oil prices, which remain volatile due to supply disruptions in the Strait of Hormuz.
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