A man walks past an electronic quotation board showing Nikkei 225 stock prices at the Tokyo Stock Exchange in Tokyo on March 31, 2026. (Photo by Kazuhiro NOGI / AFP via Getty Images)
Kazuhiro Nogi Afp | Getty Images
South Korean benchmark Kospi index posted its strongest monthly gain, of nearly 31%, since January 1998, fueled by a surge in stocks that helped the market avoid political tensions in the Middle East.
The index’s biggest gains were largely driven by optimism surrounding artificial intelligence, with semiconductor and heavy metals giants SK Hynix and Samsung Electronics leading the way, up 60% and 35%, respectively, on the month.
HSBC last week upgraded South Korea to “neutral” from “underweight,” saying recent outflows had helped ease market congestion and reduced risks from the country’s volatility.
Apart from heavyweight chipmakers, HSBC said broader growth themes in areas such as energy storage, shipbuilding, defense and nuclear power were also supporting the market rally.
The historic rally comes as broader Asia-Pacific markets, including the Kospi, fell on Thursday, weighed down by a four-year high in oil prices, before paring gains, on fears of a possible US war against Iran and continued uncertainty after the Federal Reserve held rates tight.
The Kospi fell 1.38% to 6,598.8, while the smaller Kosdaq fell 2.29% to 1,192.35.
In Australia, the S&P/ASX 200 it lost 0.24% to end the trading day at 8,665.8.
Japanese markets fell as trading resumed after the holiday. Benchmark Nikkei 225 lost 1.06% to close at 59,284.92 while the Topix fell 1.19% to 3,727.21.
In Hong Kong Hang Seng Index it was down 1.27% as of its last hour of trading, while China’s CSI 300 closed flat at 4,807.30.
Oil rose after Axios, citing two sources familiar with the matter, reported that the US Central Command will present US President Donald Trump’s plans to fight Iran.
Earlier, Trump is said to have rejected Tehran’s proposal to reopen the Strait of Hormuz, indicating that the naval blockade will continue until a comprehensive nuclear deal is reached.
June international benchmark futures Brent Crude ended up 3.4% at $121.98 a barrel on Thursday, while the US West Texas Intermediate added 1.21% to $108.22.
Brent crude has risen to its highest level since mid-2022, LSEG data shows, as tensions in the Middle East tighten.
In the US, the future is linked to S&P 500 added 0.3%, while Nasdaq 100 futures gained 0.5%. Dow Jones Industrial Average futures down 128 points, or 0.2%.
At night in the US, i The Dow Jones Industrial Average closed at the bottom. The 30-stock index fell 280.12 points, or 0.57%, to close at 48,861.81 and snap a fifth straight day of losses. I S&P 500 retreated 0.04% to close at 7,135.95, while Nasdaq Composite rose 0.04% to 24,673.24.
– CNBC’s Sean Conlon and Lisa Kailai Han contributed to this report.
