(ATTN: ADDS details in 4th para, bond yields at bottom)
SEOUL, May 7 (Yonhap) — South Korean stocks extended their bullish run Thursday to close at a new all-time high after briefly topping the 7,500-point mark on hopes for a Washington-Tehran deal to end their war and positive outlooks on chipmakers, backed by an artificial intelligence (AI) boom. The local currency gained against the U.S. dollar.
After choppy trading, the benchmark Korea Composite Stock Price Index (KOSPI) added 105.49 points, or 1.43 percent, to a fresh record high of 7,490.05.
Trade volume was heavy at 755.4 million shares worth 49.8 trillion won (US$34.3 billion), with losers outnumbering winners 501 to 353.
Institutions and individuals scooped up a net 1.1 trillion won and 6 trillion won, respectively, nearly offsetting foreign net selling worth 7.2 trillion won, which marked the largest-ever daily sell-off by foreigners.
The main index renewed its record-high close for the third consecutive session, breaching the 7,300-point mark on Thursday.
The index pulled off a strong start and hit a new all-time intraday high of 7,531.88 shortly after the opening bell.
After turning negative as investors locked in profits in early trade, the KOSPI rebounded and extended gains beyond the 7,500-point level in the afternoon.
Investor sentiment was buoyed by positive developments in the Middle East as Washington and Tehran exchanged fresh proposals aimed at ending the war.
U.S. President Donald Trump also said a deal with Iran could be reached before his trip to Beijing next week.
The dealing room at Hana Bank in Seoul on May 7, 2026 (Yonhap)
“After breaching the 7,500 level, the KOSPI became much more volatile due to profit hunting,” said Kang Jin-hyuk, an analyst from Shinhan Securities. “Foreign investors had led the recent rally, but they turned to net sellers.”
Tech, auto and bank shares closed higher.
Top-cap Samsung Electronics rose 2.07 percent to 271,500 won, and chip giant SK hynix added 3.31 percent to 1.65 million won.
Hyundai Motor, the country’s largest carmaker, jumped 4 percent to 572,000 won, and its auto parts affiliate Hyundai Mobis gained 2.08 percent to 441,500 won.
Banking giant KB Financial Group increased 1.45 percent to 161,200, and Shinhan Financial Group climbed 1.64 percent to 98,900 won.
Major builder Samsung C&T went up 7.86 percent to 405,000 won, and leading shipyard HD Hyundai Heavy Industries rose 6.94 percent to 693,000 won.
However, defense companies went south as industry leader Hanwha Aerospace fell 8.09 percent to 1.3 million won, and LIG D&A tumbled 11.54 percent to 866,000 won.
Entertainment giant CJ ENM lost 3.21 percent to 51,300 won, and cosmetics manufacturer APR declined 4.86 percent to 401,500 won.
The Korean won was quoted at 1,454 won against the U.S. dollar at 3:30 p.m., up 1.1 won from the previous session.
Bond prices, which move inversely to yields, closed higher. The yield on three-year Treasurys fell 4.9 basis points to 3.546 percent, while the return on the benchmark five-year government bonds also dropped 4.9 basis points to 3.737 percent.
brk@yna.co.kr
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