Asian stocks slip as Middle East tensions offset truce optimism
by Joonha YooPosted : April 9, 2026, 17:38Updated : April 9, 2026, 17:38
SEOUL, April 09 (AJP) -Asian stocks edged lower Thursday as the celebratory mood over a temporary truce between the U.S. and Iran faded just a day after the agreement.
Graphics by Song Ji-yoon
The benchmark KOSPI fell 1.61 percent, or 94.33 points, to close at 5,778.01, after trading between a high of 5,862.41 and a low of 5,757.49.
Foreign investors led the selling, offloading 874.7 billion won ($590 million), while retail and institutional investors bought a combined 504.8 billion won.
Among large-cap stocks, Samsung Electronics fell 3.1 percent to 204,000 won, while SK hynix dropped 3.4 percent to 998,000 won. Hyundai Motor declined 3.6 percent, and Kia lost 5.5 percent.
Sector performance was broadly negative, with transport equipment, electronics and insurance shares leading declines, while defensive sectors such as telecommunications and chemicals posted gains.
The tech-heavy KOSDAQ fell 1.3 percent to 1,076.00, after moving between 1,091.38 and 1,068.82 during the session.
Retail investors led buying on the KOSDAQ, purchasing 931.2 billion won, while foreign and institutional investors sold 423.9 billion won and 512.0 billion won, respectively.
Market sentiment remained fragile despite a Pakistan-mediated two-week truce between Washington and Tehran, as uncertainty over its durability grew.
Tensions escalated after Israel launched large-scale airstrikes across Lebanon on Wednesday (local time), even as the truce was being announced. According to Lebanese authorities, at least 182 people were killed and 890 injured, with casualties expected to rise.
Lebanon’s prime minister condemned the attacks and declared a national day of mourning, raising concerns over potential disruptions to shipping through the Strait of Hormuz.
U.S. President Donald Trump said American forces would remain deployed in the region until the agreement is fully implemented, warning of escalation if negotiations fail.
Japan’s Nikkei 225 fell 0.7 percent, while China’s Shanghai Composite and Hong Kong’s Hang Seng Index declined 0.7 percent and 0.3 percent, respectively.
The Korean won weakened in tandem, with the dollar rising to 1,482.0 won. Oil prices moved higher, with Brent crude gaining 3.0 percent to $97.7 per barrel and West Texas Intermediate rising 3.1 percent to $97.3.
Market volatility eased, with the VIX falling 17.2 percent, while the Philadelphia Semiconductor Index surged 6.3 percent.
