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Kospi, Kosdaq drop immediately after opening as Iran war weighs on market

Published: 04 Mar. 2026, 09:26 Updated: 04 Mar. 2026, 10:30

KIM MIN-YOUNG
[email protected]

Korea’s benchmark Kospi and Kosdaq both plummeted immediately after opening on Wednesday morning, as uncertainty stemming from the Iran war took its toll on the market for the second day.

The benchmark Kospi was trading at 5,478.85, dropping 5.41 percent, and the Kosdaq was trading at 1,076.18, down 5.41 percent from the previous session as of 10:22 a.m.

The Korea Exchange, the country's main bourse operator, activated a five-minute, sell-side sidecar immediately after the opening bell, temporarily halting program-driven sell orders in Kospi futures.

In contrast to Tuesday's session, the Kospi's decline was notably driven by net selling from domestic retail investors.

On Tuesday, the index tumbled 7.24 percent, its worst session since August 2024, to close at 5,791.91, weighed down by heightened geopolitical risks stemming from the ongoing Middle East conflict.

The United States and Israel carried out coordinated strikes on Iran over the weekend, reportedly killing Iran's Supreme Leader Ayatollah Ali Khamenei. U.S. President Donald Trump signaled the possibility of a prolonged military campaign.

Overnight on Wall Street, the Dow Jones Industrial Average fell 0.83 percent, while the tech-heavy Nasdaq Composite lost 1.02 percent.

In Seoul, most large-cap shares traded lower.

Market bellwether Samsung Electronics fell 0.72 percent, and top carmaker Hyundai Motor declined 2.18 percent.

Defense giant Hanwha Aerospace plunged 7.96 percent, and leading refiner SK Innovation dropped 0.09 percent.

Flag carrier Korean Air shed 3.17 percent, and leading shipping firm HMM plunged 13.06 percent.

Among gainers, chipmaker SK hynix rose 0.64 percent, and defense firm LIG Nex1 rose 6.2 percent.

The Korean won was trading at 1,477.20 won against the U.S. dollar as of 9:15 a.m., down 11.1 won from the previous session.

The won weakened 11.1 won from the previous session to trade at 1,477.20 won against the U.S. dollar at 9:15 a.m. The local currency briefly slid past the 1,500-per-dollar level on Tuesday, marking its first breach of the psychologically important level since 2009.

BY KIM MIN-YOUNG, YONHAP [[email protected]]