(LEAD) Seoul stocks open sharply lower on tech selloff

Seoul stocks plunged on Tuesday, opening 2.4 percent lower as investors remained cautious ahead of crucial events such as Nvidia's upcoming earnings release. The benchmark Korea Composite Stock Price Index (KOSPI) fell 244.84 points, or 3.66 percent, to 6,452.12 by 9:15 a.m. The decline was fueled by further losses in chipmakers, like Samsung Electronics, amid growing uncertainty over the profitability of AI-related investments.

U.S. stocks ended mixed overnight, with the Dow Jones Industrial Average up 0.26 percent, while the tech-heavy Nasdaq Composite slipped 0.76 percent. Investors are also monitoring escalating geopolitical tensions in the Middle East and are awaiting U.S. economic data and corporate earnings that are due this week. Federal Reserve Governor Kevin Warsh is scheduled to speak at the Jackson Hole gathering in Wyoming on Friday, offering insights into the Fed's monetary policy outlook amid persistent inflation.

Several South Korean companies suffered notable losses, with Samsung Electronics down 4.28 percent and SK hynix falling 6.46 percent. Hyundai Motor and defense firm Hanwha Aerospace also declined by 1.57 percent and 0.72 percent, respectively. On the positive side, Samyang Foods and Korea Zinc managed to rise by 0.2 percent and 2.31 percent, respectively.

The Korean won was quoted at 1,380.00 won per U.S. dollar, up 3.2 won from the previous trading session's close.