The domestic stock market has surged in response to U.S. President Donald Trump's announcement of mutual tariff suspension on the 10th.
Samsung Electronics is trading at 56,600 won, up 3,600 won (6.79%) as of 8:05 a.m. in the pre-market (Pre-Market·8 a.m. to 8:50 a.m.). SK hynix is also trading at 182,000 won, up 16,600 won (10.06%) compared to the previous trading day.
This follows President Trump's announcement that he would suspend mutual tariffs for 90 days overnight. While the mutual tariff suspension has somewhat eased concerns about a global economic recession, it appears that the acknowledgment that President Trump cannot ignore market reactions has stimulated risk preference.
Red lights have also been triggered for most of the top market capitalization stocks in the securities market. Rising stocks include LG Energy Solution, Hyundai Motor, Kia, as well as financial-related stocks such as KB Financial Group, Shinhan Financial Group, and Meriz Financial Group. Hanwha Ocean is up about 11%.
In the KOSDAQ market, Alteogen, Ecopro BM, and Ecopro are each showing an increase of around 8%. HPSP and Shinsung Deltatech are soaring by 11% and 13%, respectively.
Overnight, all three major indices in the New York stock market closed up. The Dow Jones Industrial Average rose 7.87%, while the Standard and Poor's (S&P) 500 and the Nasdaq Composite Index soared 9.52% and 12.16%, respectively.
Lee Seong-hoon, a researcher at Kiwoom Securities, noted that "the rapid rise in U.S. Treasury yields and the sharp decline in the stock market following the announcement of mutual tariffs, along with concerns about economic recession, seem to have triggered financial market instability, creating an opportunity for 'Trump puts'." He added, "The domestic stock market is expected to surge, particularly in sectors affected by tariffs, including semiconductors."