Kospi opens higher despite U.S. losses due to Middle East pessimism

Shares opened higher on Wednesday, led by gains in major technology stocks, despite overnight losses on Wall Street, as optimism over a potential U.S.-Iran peace deal faded.

The benchmark Kospi opened 92.97 points, or 1.47 percent, higher at 6,438.50.

Investors became more pessimistic about the prospects for a deal that could bring stability to the Middle East after the newly appointed secretary of Iran’s Supreme National Security Council said that the Strait of Hormuz will remain closed as long as Washington does not accept Tehran’s conditions for ending the war.

Overnight, the Dow Jones Industrial Average fell 0.34 percent, and the S&P 500 declined 0.32 percent to 7,728.2. The Nasdaq composite shed 0.6 percent.

Yonhap