• Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
Stock

Here’s why KOSPI Index rose after tariffs and weak Samsung earnings

by July 8, 2025
by July 8, 2025

The KOSPI Composite Index, which tracks the biggest South Korean companies, jumped on Tuesday, even as Donald Trump unveiled tariffs and after Samsung released weak financial results. The index jumped by over 1.17% to KRW 3,095,  a few points below the year-to-date high of KRW 3,130. 

Donald Trump leaves room for tariff negotiations

The KOSPI Composite Index jumped after Donald Trump sent a letter to South Korea’s president making the case for higher tariffs. He pledged that the US would impose a 25% on goods from the country on August 1 if there is no trade deal. 

The new tariff threat came three months after Trump unveiled his so-called retaliatory tariffs on all countries. In a statement after that, he noted that South Korea was one of the first countries to send officials in Washington to negotiate. 

Therefore, the new development meant that the deal the South Koreans were seeking did not materialize. A 25% tariff on South Korean goods, and the possible retaliation will hurt both sides. 

Data shows that the two countries do trade worth over $197 billion annually. This includes US exports to South Korea worth over $65 billion. South Korean exports to the US totalled over $131.5 billion. 

Therefore, the KOSPI Index rose after the tariff threat for two key reasons. First, Trump left the door for negotiations open, meaning that South Korea will work hard to reach an agreement by the deadline.

Second, there is the concept of TACO., which means that Trump Always Chickens Out. Trump often backs down after making major announcements.

Samsung earnings

The KOSPI Index also jumped even after Samsung published weak financial results. Its numbers showed that its profits fell for the first time since 2023 as it continues to lose market share to companies like SK Hynix and Micron. 

Samsung, the largest South Korean company, reported that its operating profit decreased by 56% in the last quarter to $3.3 billion. Its revenue of 74 trillion won was flat.

On the positive side, the Samsung stock price rose after the company announced a 3.9 trillion share buyback. Share repurchases help investors by reducing the outstanding shares and boosting the earnings per share.

Samsung stock also jumped as investors predicted that the crisis is about to end. In a note, a CLSA analyst said:

“This is likely to be the bottom. Looking beyond the disappointing results in the second quarter, we expect a sequential recovery.”

The top gainers in the KOSPI Index were companies like Hansaemk, Dongyang Steel Pipe, Histeel, Able C&C, and Nexteel, which soared by over 16%. The top laggards were companies like Dongsung Pharmaceuticals, which fell by 65%, Ildong Holdings, Sewon, and Kumyang.

KOSPI Index technical analysis

KOSPI Index chart | Source: TradingView

The daily chart shows that the KOSPI Index has been in a strong rally in the past few months, moving from a low of KRW 2,286 in April to KRW 3,100 today.

It has remained above all moving averages. A golden cross pattern formed in May when the 200-day and 50-day crossed each other. The index has moved above the key resistance level at KRW 2,895, the highest swing in July last year.

The KOSPI Index has formed a bullish flag pattern, pointing to more gains in the coming weeks. If this happens, the next point to watch will be at KRW 3,500.

However, there is a risk of reversal as mean reversion happens.. If this happens, the index will likely drop and retest the support at KRW 2,895.

The post Here’s why KOSPI Index rose after tariffs and weak Samsung earnings appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
Asian markets open: Nikkei rises 0.31%, Sensex opens 65 points down
next post
Jack Dorsey unveils Bluetooth-based alternative to WhatsApp

Related Posts

Jack Dorsey unveils Bluetooth-based alternative to WhatsApp

July 8, 2025

ASX 200 Index double top after the surprise...

July 8, 2025

Asian markets open: Nikkei rises 0.31%, Sensex opens...

July 8, 2025

Yen falls to 2-week low after US announces...

July 8, 2025

Shein files for Hong Kong IPO in bid...

July 8, 2025

Europe markets open: cautious start with Stoxx 600...

July 8, 2025

Lloyds share price ripe for a breakout ahead...

July 8, 2025

How nations from Japan to South Africa are...

July 8, 2025

BP, Shell return to Libya for hydrocarbon exploration...

July 8, 2025

Here’s why the XPeng stock price is on...

July 7, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.

By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • Do Low-Tax States Win More Stanley Cups?

    July 8, 2025
  • New Yorkers Flirt with Socialist Grocery Store Scheme

    July 8, 2025
  • Supreme Court Delivers Parents a Partial Victory 

    July 8, 2025
  • Do Low-Tax States Win More Stanley Cups?

    July 8, 2025
  • New Yorkers Flirt with Socialist Grocery Store Scheme

    July 8, 2025
  • Supreme Court Delivers Parents a Partial Victory 

    July 8, 2025

Editors’ Picks

  • 1

    Meta executives eligible for 200% salary bonus under new pay structure

    February 21, 2025
  • 2

    Walmart earnings preview: What to expect before Thursday’s opening bell

    February 20, 2025
  • 3

    New FBI leader Kash Patel tapped to run ATF as acting director

    February 23, 2025
  • 4

    Anthropic’s newly released Claude 3.7 Sonnet can ‘think’ as long as the user wants before giving an answer

    February 25, 2025
  • 5

    Nvidia’s investment in SoundHound wasn’t all that significant after all

    March 1, 2025
  • 6

    Elon Musk says federal employees must fill out productivity reports or resign

    February 23, 2025
  • 7

    Cramer reveals a sub-sector of technology that can withstand Trump tariffs

    March 1, 2025

Categories

  • Economy (1,747)
  • Editor's Pick (182)
  • Investing (185)
  • Stock (1,141)
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Read alsox

Li Auto stock price: here’s why this...

February 24, 2025

Here are the 3 key AI announcements...

June 10, 2025

OXLC stock yields 22% and beats S&P...

April 2, 2025