Seoul shares rise for 2nd day on tech gains despite renewed Mideast tensions

South Korean stocks experienced a second day of gains on Tuesday, buoyed by strong performance in tech shares, as tensions escalated in the Middle East following renewed airstrikes between the United States and Iran. The Korea Composite Stock Price Index (KOSPI) closed at 6,835.80, marking a 0.23 percent increase from the previous session.

The index had opened 0.52 percent lower, mirroring Wall Street's overnight decline resulting from the military clashes and their impact on global oil prices and inflation concerns. Federal Reserve Chair Kevin Warsh's cautious remarks during the Jackson Hole Symposium also fueled apprehensions about potential interest rate hikes at the upcoming meeting.

Despite the geopolitical unrest, the KOSPI managed to recover in the afternoon, largely driven by gains in the technology sector. This recovery was further supported by South Korea's August export figures, which revealed a robust performance fueled by a surge in demand for chips. The gains in tech shares helped erase the index's earlier losses, highlighting the resilience of the South Korean stock market amid global uncertainties.