Seoul: South Korean stocks traded higher late Tuesday morning, driven by the strong performances of tech and auto shares. The benchmark Korea Composite Stock Price Index (KOSPI) added 17.44 points, or 0.59 percent, to 2,964.1 as of 11:20 a.m.
According to Yonhap News Agency, overnight gains on Wall Street contributed to the positive sentiment in Seoul. Investors were optimistic due to hopes that Israel and Iran will avoid a full-scale war, following news of Tehran's willingness to resume talks over its nuclear program. Additionally, the strong performance of tech shares was bolstered by planned discussions on artificial intelligence (AI) at the ongoing Group of Seven (G7) summit in Canada. The Dow Jones Industrial Average rose 0.75 percent, the tech-heavy Nasdaq composite increased 1.52 percent, and the S and P 500 gained 0.94 percent.
In Seoul, tech giant Samsung Electronics saw a significant rise of 2.1 percent, while its competitor SK hynix surged 2.22 percent. In the automotive sector, Hyundai Motor and its sister company Kia both experienced an increase of 1.74 percent. Doosan Enerbility, a major nuclear power plant manufacturer, also saw a rise of 1.68 percent.
Among shipbuilders, Hanwha Ocean soared 7.03 percent, contrasting with its competitor HD Hyundai Heavy, which fell by 2.45 percent. In the defense sector, Hanwha Aerospace decreased by 1.34 percent, and HMM, the country's largest shipper, dropped 4.32 percent.
The local currency was trading at 1,363.5 won against the U.S. dollar at 11:20 a.m., marking an increase of 0.3 won from the previous session.