Seoul stocks soar to record high amid U.S.-China trade woes, hopes for Fed rate cut

▲ The closing benchmark Korea Composite Stock Price Index (KOSPI) is displayed on a screen inside the dealing room of Hana Bank in central Seoul, on Oct. 15, 2025. (Yonhap)

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Seoul stocks soar to record high amid U.S.-China trade woes, hopes for Fed rate cut

SEOUL, Oct. 15 (Yonhap) -- South Korean stocks reached a fresh all-time high Wednesday, amid escalating tensions between the United States and China and hopes for an additional rate cut by the Federal Reserve. The local currency rose against the greenback.

The benchmark Korea Composite Stock Price Index (KOSPI) jumped 95.47 points, or 2.68 percent, to close at 3,657.28, marking the first time to climb past the 3,600 mark.

Trade volume was moderate, at 538.8 million shares worth 13.7 trillion won (US$9.6 billion). Gainers outnumbered decliners 759 to 127.

Institutional and foreign investors were net buyers, each purchasing 751.8 billion won and 162.7 billion won, respectively. Retail investors sold off a net 970.5 billion won.

Investors seemed to be brushing off the latest trade spat between the U.S. and China as a "strategic move" to gain the upper hand ahead of their meeting at the Asia-Pacific Economic Cooperation (APEC) summit slated for later this month, said Lee Kyoung-min, an analyst at Daishin Securities.

"Federal Reserve Chair Jerome Powell's remarks overnight, which suggested that the central bank could end its quantitative tightening soon, also had a positive impact on the financial market," Lee added.

On Tuesday (local time), Powell said the Fed is nearing its goal of "ample" reserves available for banks.

Investors also anticipated that the government's new set of measures to rein in home prices could accelerate capital inflows into the financial market.

Shares closed higher across the board.

Market top-cap Samsung Electronics advanced 3.71 percent to 95,000 won, while its rival SK hynix inched up 2.67 percent to 422,500 won.

Bio firm Samsung Biologics jumped 9.74 percent to 127,000 won, KB Financial Group added 4.33 percent to 115,700 won, and nuclear power plant builder Doosan Enerbility vaulted 9.37 percent to 82,900 won.

Defense shares also gathered ground on President Donald Trump's warning the U.S. "will disarm" Hamas if they do not disarm themselves.

Hanwha Aerospace moved up 2.25 percent to 954,000 won and battle tank maker Hyundai Rotem climbed 5.69 percent to 213,500 won.

The Korean won was quoted at 1,421.3 won against the U.S. dollar as of 3:30 p.m., up 9.7 won from the previous session's close.

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