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SEOUL — South Korean stocks opened sharply higher on Tuesday, led by a surge in technology shares after Samsung Electronics reported a record first-quarter operating profit driven by strong demand for artificial intelligence-related chips, according to Yonhap News Agency.

The benchmark Korea Composite Stock Price Index (KOSPI) rose 134.43 points, or 2.47 percent, to 5,584.76 in the first 15 minutes of trading, per Yonhap. A separate Yonhap report from Monday morning had the index up 116 points, or 2.16 percent, at 5,493.3 as of 11:20 a.m., reflecting a continued upward trend.

Coverage comparison

Both reports from Yonhap highlighted the positive market sentiment, though they covered different trading sessions. The first report, published Monday, focused on investor anticipation ahead of Samsung's earnings guidance, while Tuesday's report confirmed the record results and the market's reaction. The two articles also noted slightly different details on Samsung's share performance: Monday's report said Samsung Electronics surged 4.03 percent, while Tuesday's report put the gain at 3.7 percent. The local currency was trading at 1,505.50 won against the U.S. dollar at 9:15 a.m. Tuesday, up 0.8 won from the previous session, according to Yonhap.

Key claims

  • Samsung's record earnings: Samsung Electronics estimated its first-quarter operating profit surged nearly ninefold to a record 57.2 trillion won (US$38 billion) from 6.61 trillion won a year earlier, driven by robust demand for AI-related chips, as reported by Yonhap.
  • KOSPI performance: The index opened higher Tuesday, rising 134.43 points or 2.47 percent to 5,584.76, per Yonhap. A Monday report had the index up 2.16 percent at 5,493.3.
  • Samsung and SK hynix: Samsung Electronics jumped 3.7 percent, and chip rival SK hynix gained 3.56 percent in Tuesday trading, according to Yonhap.
  • Wall Street influence: Overnight gains on Wall Street, where the Dow Jones Industrial Average rose 0.36 percent and the Nasdaq composite added 0.54 percent, also buoyed investor sentiment, per Yonhap.
  • Other movers: Hyundai Motor rose 2.56 percent, Kia climbed 1.12 percent, LG Energy Solution advanced 2.4 percent, and SK Innovation surged 3.08 percent. Decliners included KT&G, which fell 0.45 percent, and Samyang Foods, down 0.66 percent, according to Yonhap.
  • Currency: The local currency was trading at 1,505.50 won against the greenback at 9:15 a.m., up 0.8 won from the previous session, as reported by Yonhap.

Perspectives

  • Market optimism: Investors were optimistic about Samsung's earnings, which boosted confidence in the AI industry and tech sector broadly, according to Yonhap's reports.
  • Geopolitical caution: Monday's report noted that investors remained cautious due to U.S. President Donald Trump's warning of striking Iran's infrastructure, setting a deadline for Tuesday evening (U.S. time). This geopolitical factor could introduce volatility.
  • Global context: The positive sentiment was reinforced by gains on Wall Street overnight, suggesting a global tech-driven rally, per Yonhap.
Note: Both reports come from Yonhap, South Korea's leading wire service. The figures cited are as reported and may be subject to revision.