South Korea's benchmark index tops 4,000 for first time on APEC optimism

By Youn Ah Moon and Jihoon Lee

South Korea's benchmark KOSPI KOSPI stock index rose above 4,000 points for the first time, buoyed by optimism around trade talks between the U.S. and China, the country's two biggest trading partners.

On Monday, the benchmark KOSPI KOSPI closed up 101.24 points, or 2.57%, at 4,042.83, its highest level on record.

Chinese and U.S. officials on Sunday hashed out the framework of a trade deal for U.S. President Donald Trump and Chinese President Xi Jinping to decide on the sidelines of an Asia-Pacific summit in South Korea on Thursday, boosting risk appetite.

U.S Treasury Secretary Scott Bessent also said that a trade deal with South Korea is "very close", though details still have to be worked out. A South Korean official, however, said it is unlikely there will be a deal when Trump meets South Korean President Lee Jae Myung on Wednesday.

"Positive issues are raising hopes ahead of a 'super week' packed with major events including APEC," Lee Kyoung-min, an analyst at Daishin Securities, said, referring to the annual summit of the Asia-Pacific Economic Cooperation group.

Among index heavyweights, chipmaker Samsung Electronics 005930 rose 3.24% and peer SK Hynix 000660 gained 4.90%, hitting record highs.

Foreigners were net buyers of local shares worth 647.2 billion won ($455.3 million).

This year, the KOSPI has rallied on President Lee's market reform pushes under his "KOSPI 5,000" initiative and upbeat outlook for the semiconductor sector on a global artificial intelligence boom.

The KOSPI has risen 68% so far in 2025, outperforming major Wall Street stock indexes as well as Asian peers in Japan, China, Hong Kong and Taiwan.

The electric & electronic sector (.KS41), including chip heavyweights, has risen more than 100% so far this year, while securities firms (.KS53) have more than doubled in value.

The won was quoted at 1,433.5 per dollar on the onshore settlement platform USDKRW, 0.41% higher than its previous close at 1,439.4.

($1 = 1,421.4800 won)