Seoul stocks end higher ahead of Nvidia earnings

South Korea's stock market rebounded on Tuesday, recovering from earlier declines as investors anticipated significant corporate earnings releases later in the week, notably from Nvidia, the U.S. chip manufacturer. The Korean won weakened relative to the U.S. dollar. The Korea Composite Stock Price Index (KOSPI), which had plunged 3 percent the day before, regained 45.78 points, or 0.68 percent, to close at 6,742.74.

In contrast to the prior session, investors and institutions collectively purchased shares worth a combined 2 trillion won ($1.46 billion). Meanwhile, foreign investors divested a net 3.82 trillion won. Overnight in the United States, the Dow Jones Industrial Average edged up by 0.26 percent, while the tech-focused Nasdaq Composite slipped 0.76 percent.

Analysts cited a confluence of factors in investors' decision-making: worries over escalating Middle East tensions, expectations for forthcoming U.S. economic data, and corporate earnings announcements due this week. Notably, Federal Reserve Governor Kevin Warsh was slated to address the Jackson Hole gathering in Wyoming on Friday (U.S. time), potentially shedding light on the central bank's stance on monetary policy amid ongoing inflation challenges.