SEOUL, March 23 (AJP) - The Seoul bourse suffered one of its steepest selloffs Monday as a sharp risk-off wave swept across Asia after U.S. President Donald Trump issued a 48-hour ultimatum to Iran, prompting heavy foreign outflows and broad-based selling.
The rout came as escalating tensions in the Middle East stoked fears of disruptions to global energy supply routes, particularly the Strait of Hormuz, a chokepoint for about 20 percent of the world’s seaborne oil.
The U.S. dollar rose past 1,510 won to close at 1,514.6 won, its highest level since the global financial crisis. Oil prices also jumped on supply fears, with Brent crude rising 1.6 percent to $113.9 a barrel and West Texas Intermediate climbing 3.4 percent to $101.5.
The selloff spread across the region. Japan’s Nikkei 225 fell 3.48 percent to 51,515.49 after briefly slipping below the 51,000 mark during the session. Hong Kong’s Hang Seng Index dropped 3.34 percent to 24,433.3, while China’s Shanghai Composite lost 3.63 percent to 3,813.28.
South Korea’s benchmark KOSPI plunged 6.5 percent to close at 5,405.75 after falling as low as 5,397.94 intraday, marking one of its sharpest one-day declines this year.
Foreign investors drove the selloff, dumping more than 3.67 trillion won ($2.4 billion) worth of shares, while institutions sold a net 3.82 trillion won. Retail investors stepped in aggressively, purchasing nearly 7 trillion won worth of stocks and absorbing much of the selling pressure.
Market volatility spiked early, triggering a sell-side sidecar at 9:18 a.m. — the sixth such activation this year — after KOSPI200 futures tumbled more than 5 percent for over one minute.
The tech-heavy KOSDAQ also fell sharply, losing 5.6 percent to 1,096.9.
On the secondary board, foreign investors sold a net 259.4 billion won and institutions offloaded 200.4 billion won, while retail investors bought 465.6 billion won, partially cushioning the drop.
Losses were broad-based, with major index heavyweights falling in tandem.
Samsung Electronics dropped 6.6 percent to 186,300 won, while SK hynix slid 7.4 percent to 933,000 won as semiconductor stocks came under pressure amid global risk aversion. Automakers also retreated, with Hyundai Motor down 6.2 percent to 485,000 won and Kia off 4 percent to 161,700 won.
Energy and industrial shares also weakened. LG Energy Solution fell 5.2 percent to 356,000 won, Doosan Enerbility plunged 8.1 percent to 100,700 won, and Hanwha Aerospace slipped 3.2 percent to 1,278,000 won. In the bio and platform sectors, Samsung Biologics lost 4.9 percent to 1,523,000 won and Naver declined 5.6 percent to 209,000 won.
Among the few gainers, SK Ocean Plant rose 7.2 percent to 27,400 won, while Pearl Abyss edged up 0.6 percent to 41,750 won.
The selloff also hit entertainment shares despite BTS’s high-profile comeback, underscoring how broader market stress overshadowed stock-specific momentum.
Hybe plunged 15.6 percent to 290,500 won, while JYP Entertainment fell 6.8 percent to 61,700 won.
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