(LEAD) KOSPI opens sharply lower following over 7 pct dip amid Middle East tension

▲ This photo taken March 4, 2026, shows the dealing room of Hana Bank in central Seoul after the market close. (Yonhap)

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(LEAD) KOSPI opens sharply lower following over 7 pct dip amid Middle East tension

(ATTN: UPDATES with details throughout)

SEOUL, March 4 (Yonhap) -- South Korean stocks opened sharply lower Wednesday, extending losses from the previous session's more than 7 percent plunge, as escalating Middle East tensions rattled investor sentiment.

After opening 3.44 percent lower, the benchmark Korea Composite Stock Price Index (KOSPI) traded down 212.55 points, or 3.67 percent, at 5,579.36 as of 9:15 a.m., after briefly touching an intraday low of 5,438.97.

The Korea Exchange (KRX), the country's main bourse operator, activated a five-minute sell-side sidecar immediately after the opening bell, temporarily halting program-driven sell orders in KOSPI futures.

On Tuesday, the index tumbled 7.24 percent, its worst session since August 2024, to close at 5,791.91, weighed down by heightened geopolitical risks stemming from the ongoing Middle East conflict.

The United States and Israel carried out coordinated strikes on Iran over the weekend, reportedly killing Iran's Supreme Leader Ayatollah Ali Khamenei. U.S. President Donald Trump signaled the possibility of a prolonged military campaign.

Overnight on Wall Street, the Dow Jones Industrial Average fell 0.83 percent, while the tech-heavy Nasdaq Composite lost 1.02 percent.

In Seoul, most large-cap shares traded lower.

Market bellwether Samsung Electronics fell 0.72 percent, and top carmaker Hyundai Motor declined 2.18 percent.

Defense giant Hanwha Aerospace plunged 7.96 percent, and leading refiner SK Innovation dropped 0.09 percent.

Flag carrier Korean Air shed 3.17 percent, and leading shipping firm HMM plunged 13.06 percent.

Among gainers, chipmaker SK hynix rose 0.64 percent, and defense firm LIG Nex1 rose 6.2 percent.

The Korean won was trading at 1,477.20 won against the U.S. dollar as of 9:15 a.m., down 11.1 won from the previous session.

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