Seoul: South Korean stocks traded higher late Wednesday morning, led by gains from chips and defense shares amid eased global tariff concerns. The benchmark Korea Composite Stock Price Index (KOSPI) had added 20.49 points, or 0.79 percent, reaching 2,628.91 as of 11:20 a.m.
According to Yonhap News Agency, overnight gains on Wall Street contributed to this upward trend, as the S and P 500 and the Nasdaq closed higher. The rise was attributed to softer-than-expected U.S. inflation figures and optimism surrounding a trade deal between the United States and China.
In the domestic market, semiconductor shares were significant contributors to the early increase. This surge followed the announcement of Nvidia's plan to supply 18,000 units of its AI chip Blackwell to Saudi Arabia. Market bellwether Samsung Electronics saw a 0.7 percent increase, while its chipmaking rival SK hynix experienced a 4.28 percent jump.
The defense sector also showed positive momentum, with Hanwha Aerospace advancing 2.36 percent and Korea Aerospace Industries (KAI) soaring 5.23 percent. In other sectors, K-pop agency Hybe increased by 3.18 percent, and instant noodle maker Samyang Food went up by 2.21 percent.
On the currency front, the local currency was trading at 1,414.35 won against the U.S. dollar at 11:20 a.m., marking an increase of 2.05 won from the previous session.