US-UK Trade Agreement Lifts KOSPI in Early Trading

Both the KOSPI and KOSDAQ started higher, buoyed by news of a trade agreement between the United States and the United Kingdom overnight.

As of 9:10 a.m. on May 9, 2025, the KOSPI index was trading at 2,589.0, up 9.52 points (0.37%) from the previous trading day. The KOSPI opened the day at 2,587.93.

Individual investors and institutions led the rise in the index, with net purchases of 34 billion won and 14.8 billion won, respectively. Meanwhile, foreign investors recorded net sales of 50.4 billion won.

On May 7, 2025, the status board in the dealing room of Hana Bank headquarters in Jung-gu, Seoul, displays the KOSPI and the won/dollar exchange rate. Photo by Cho Yongjun

The KOSPI index had shown strength over the past three trading days, and the overnight announcement of a broad trade agreement between the United States and the United Kingdom contributed to the early gains in the index.

Specifically, the United States decided to withdraw the 25% tariff on automobiles imposed on the United Kingdom. Instead, a basic tariff of 10% will be applied to up to 100,000 vehicles per year. Tariffs on British steel and aluminum products will also be eliminated.

Among large-cap stocks, Samsung Electronics (up 0.09%), SK hynix (up 0.89%), Samsung Biologics (up 0.29%), Hanwha Aerospace (up 0.23%), and Hyundai Motor (up 2.62%) were on the rise. In contrast, LG Energy Solution (down 1.68%), HD Hyundai Heavy Industries (down 0.83%), and KB Financial Group (down 2.54%) were declining.

By sector, non-ferrous metals recorded the largest gain, rising 6.43% on the back of the US-UK trade agreement. Automobiles (up 2.53%) and energy equipment (up 1.93%) were also advancing. Semiconductors and pharmaceuticals were slightly firmer.

The KOSDAQ market was trading at 728.25, down 1.34 points (0.18%) from the previous trading day. The KOSDAQ opened at 731.01, higher than the previous day's close of 729.59.

Among the top KOSDAQ stocks by market capitalization, declines were more prevalent. Classys and Hugel were both down by around 3%, while EcoPro BM fell by about 2%. EcoPro and Peptron were down by about 1%, and ABL Bio, Rainbow Robotics, Kolon TissueGene, and Samchundang Pharm were also weak. On the other hand, PharmaResearch and Rigakem Bio were up by about 1%.

In the Seoul foreign exchange market, the dollar-won exchange rate opened at 1,404.8 won, up 8.2 won from the previous session.

Meanwhile, all major indices on the New York Stock Exchange closed higher overnight. The Dow Jones Industrial Average ended at 41,368.45, up 0.62% from the previous session. The Standard & Poor's (S&P) 500 index finished at 5,663.94, up 0.58%. The tech-heavy Nasdaq index closed at 17,928.14, up 1.07%.

This content was produced with the assistance of AI translation services.