The Kospi closed at an all-time high above the 3,800 mark on Monday, buoyed by easing U.S.-China trade tensions.
The benchmark index ended the day at 3,814.69, up 1.76 percent from the previous trading session. This surpassed the prior record of 3,794.87 that was set on Friday. The Kosdaq also rose 1.89 percent and closed at 875.77.
Institutional investors led the rally by purchasing 643 billion won, which is approximately 469 million dollars. In contrast, retail investors sold 409 billion won, while foreign investors off-loaded 251 billion won.
Shares of Hanwha Ocean rose by 6.06 percent, while Hanwha Aerospace climbed 4.5 percent. Tech and large-cap stocks also gained, including SK hynix with an increase of 4.3 percent, Samsung Biologics with 1.61 percent, Hyundai Motor with 2.06 percent and Samsung Electronics with 0.2 percent. Doosan Enerbility inched up 0.12 percent.
The rally followed signs that trade tensions between Washington and Beijing may be easing.
U.S. President Donald Trump, in an interview with Fox Business on Thursday, said that his proposed 100 percent tariff on goods from China would not be sustainable.
![U.S. President Donald Trump speaks to reporters aboard Air Force One on Oct. 19. [AP/YONHAP]](https://imgnews.pstatic.net/image/640/2025/10/20/0000078514_002_20251020193615887.jpg?type=w860)
He added that he plans to meet Chinese President Xi Jinping for trade discussions during the Oct. 31 APEC summit in Gyeongju, North Gyeongsang.
"I think we're going to do fine with China. I get along great with him. He's a very strong leader, a very, you know, amazing man," Trump said of Chinese President Xi Jinping.
Trump's remarks came shortly after reports that Micron, a U.S. semiconductor manufacturer, would withdraw from supplying server chips to Chinese data centers. That development had earlier sparked fears of prolonged friction between the two economic powers.
Expectations have also grown over the conclusion of follow-up discussions on Korea-U.S. tariffs.
Kim Yong-beom, presidential director for national policy, returned from Washington on Sunday and said that "practical progress" had been made on most key issues. He added that the possibility of a final agreement during the upcoming APEC summit has increased.
Other major stock markets in Asia also climbed. In Japan, the Nikkei 225 surpassed the 49,000 level for the first time during intraday trading and closed up 3.37 percent at 49,185.5.
Hong Kong’s Hang Seng Index rose 2.45 percent to 25,866.87. Taiwan’s Taiex gained 1.41 percent and ended at 27,688.63. In mainland China, the Shanghai Composite Index rose 0.63 percent to finish at 3,863.89.
Lee Jae-won, an analyst at Shinhan Securities, said the Kospi is following the broader momentum of regional markets.
“Easing U.S.-China trade tensions and reduced credit risks are contributing to the rebound across Asia,” Lee said. “As major uncertainties subside, appetite for risk assets appears to be returning.”
This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.
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