(LEAD) Seoul stocks open sharply lower on failed U.S.-Iran peace talks

▲ This Reuters file photo shows a vessel at the Strait of Hormuz, off the coast of Oman's Musandam Governorate on April 12, 2026. (Yonhap)

(LEAD) stocks-open

(LEAD) Seoul stocks open sharply lower on failed U.S.-Iran peace talks

(ATTN: UPDATES with latest figures in 2nd para; ADDS more info from 6th para)

SEOUL, April 13 (Yonhap) -- South Korean stocks opened sharply lower Monday, the first trading day since the talks between Washington and Tehran ended without any progress while U.S. President Donald Trump announced a blockade of the Strait of Hormuz.

After opening 2.08 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) narrowed losses, falling 89.15 points, or 1.52 percent, to 5,769.72 in the first 15 minutes of trading.

Over the weekend, the United States and Iran held face-to-face negotiations in Pakistan, but the talks ended without an agreement.

Following the breakdown in the talks, President Trump said on social media that the U.S. Navy would blockade the Strait of Hormuz. The U.S. military said the measure would take effect at 10 a.m. Monday (U.S. time).

The U.S. and Iran had announced a two-week ceasefire on April 7, but the agreement is now at risk.

In Seoul, most big-cap shares lost ground amid heavy selling by foreign investors.

Market bellwether Samsung Electronics slid 2.91 percent, while chip giant SK hynix declined 1.36 percent.

Top automaker Hyundai Motor dropped 2.15 percent, while its sister Kia lost 1.21 percent.

Leading battery maker LG Energy Solution decreased 0.61 percent, and leading banking group KB Financial Group retreated 0.69 percent.

Defense shares were strong with industry leader Hanwha Aerospace adding 0.46 percent and LIG Nex1 rising 1.63 percent.

The local currency was trading at 1,487.8 won against the U.S. dollar at 9:15 a.m., down 5.7 won from the previous session's close.

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