South Korean equities reached a new peak on Monday, propelled by robust technology sector demand and strong quarterly earnings, further extending gains after a productive April. Investor attention also centered on geopolitical developments involving Iran and the United States’ plans to address shipping disruptions in the Strait of Hormuz.
The Kospi Index rose nearly 3% in the morning session, climbing to 6,782.93 points, marking its highest level on record. This performance followed the index’s notable rally in April, which was underpinned by favorable results from technology firms and increased investor interest in the sector.
In contrast, Australia’s ASX200 edged down 0.19% to 8,713.40 points. Trading floors in China, Japan, and Thailand remained closed due to holidays, limiting broader regional activity.
On the geopolitical front, President Donald Trump indicated on Sunday via social media that the United States plans to intervene in the Strait of Hormuz to assist commercial vessels stranded due to tensions and conflict surrounding Iran. This development has become a point of focus for market participants watching for potential impacts on energy supply routes.
“Countries from all over the World, almost all of which are not involved in the Middle Eastern dispute going on so visibly, and violently, for all to see, have asked the United States if we could help free up their Ships, which are locked up in the Strait of Hormuz, on something which they have absolutely nothing to do with,” wrote Trump.
“I have told my Representatives to inform them that we will use best efforts to get their Ships and Crews safely out of the Strait.”
Oil markets responded with moderate declines as traders weighed the potential for resumed shipping through the vital channel. Global benchmark Brent crude slipped 0.15% to $108.01 per barrel, while U.S. West Texas Intermediate contracts fell by 0.36%, settling at $101.57 per barrel.
