South Korea’s benchmark Kospi index opened 1.08% lower on Monday, marking a continuation of the risk-off sentiment that has plagued Asian markets this week.
The decline reflects renewed investor caution amid unresolved US-Iran peace negotiations, with traders digesting fresh uncertainty surrounding the diplomatic talks.
The sell-off follows a period of heightened geopolitical risk, with US President Donald Trump’s administration facing complex negotiations with Tehran.
Markets remain sensitive to any signs of escalation or breakdown in the dialogue, which could disrupt global energy supplies and trade routes.
Investors are closely monitoring the diplomatic channel for any breakthroughs that might stabilize sentiment.
Until clarity emerges, equity markets in Seoul and across the region are likely to remain volatile, with risk assets under pressure.