KOSPI

Asia Week Ahead: Central Bank Moves, Inflation Data, Trade Numbers and GDP Reports

For this week in Asia, the economic calendar features a busy slate of macro releases across the region.The week begins with a slew of closely watched indicators from China, including industrial production and unemployment data.On Tuesday, markets turn to Japan's first-quarter GDP estimates and Malaysia's April inflation print.Wednesday features policy decisions in Indonesia and China, along with trade data from Taiwan.Thursday brings Japan's latest trade figures and Australia's closely watched labor market report. On Friday, Japan returns to the spotlight with its April inflation print.Here's what to watch in the week ahead.MONDAY, May 18The week kicked off with a flurry of macro releases from China.Industrial production: A 4.1% year-over-year expansion was recorded in April, sharply slowing from the 5.7% growth in March and way below expectations of a 5.9% rise.Retail sales: Growth decelerated to 0.2% year on year in April, versus 1.7% a month prior.Unemployment: The rate eased to 5.2% in April from 5.4% a month earlier.Meanwhile, prices of new residential properties in China's first-tier cities grew 0.1% month on month in April, decelerating from the 0.2% expansion in March.Chinese investments in real estate development fell 13.7% year on year to 2.397 trillion yuan between January and April.Outside China, Thailand reported that its gross domestic product grew at a faster rate of 2.8% in the first quarter of 2026 from 2.5% in the last three months of 2025.In Singapore, April trade showed a 24.5% year on year rise in non-oil domestic exports, extending the 15.3% increase in the previous month.Elsewhere, New Zealand's services sector showed a modest improvement in April but remained in contraction, with persistent cost pressures and global shipping disruptions continuing to weigh on sentiment, according to BusinessNZ.The BusinessNZ Performance of Services Index rose to 48.9 in April from 46.2 in March. A reading below the 50-point mark points to contraction.TUESDAY, May 19Markets will turn their attention to Japan's preliminary first-quarter GDP.Economists at ING said they expect the economy to grow at a similar rate as the previous quarter's 0.3% on a seasonally adjusted basis. "The war's impact on GDP should be minimal in 1Q26," the bank said in a preview.Meanwhile, Malaysia will disclose its April inflation print, with Trading Economics expecting prices to rise at a faster pace than the 1.7% year over year growth seen in March. According to the data platform, Malaysia's CPI could rise at a rate of 2.7%.In Australia, the Reserve Bank of Australia's meeting minutes will add color to the central bank's recent decision to increase the official cash rate by 25 basis points to 4.35%.CommBank said the minutes may provide more details on the board's discussion and how members were assessing the impact of the conflict around Iran.A consumer confidence report, due for release the same day, will capture sentiment over the most recent RBA rate hike and the ongoing conflict in the Middle East.Lastly, Hong Kong will report April unemployment stats on the same day.WEDNESDAY, May 20Bank Indonesia will meet for its monetary policy meeting and could raise rates by 25 basis points to 5% amid a depreciation of the local currency and a shift in expectations for Federal Reserve rate cuts, which bodes unfavorably for the Indonesian rupiah, ING forecasted.China will similarly set its one-year and five-year loan prime rates, with markets expecting no change in the prevailing rates of 3% and 3.5%, respectively.Trade data from Taiwan and Malaysia will be due.Taiwan is once again expected to show a "strong reading" when it releases April export orders data, with growth topping 54% year on year, ING said in a preview.The island nation started the year "quite strongly" amid external demand for its main high-tech products, which is expected to continue, according to the note.Meanwhile, Malaysia's trade surplus is expected to narrow to 10.5 billion ringgit from 24.6 billion ringgit in the month prior, Trading Economics forecasted.The Reuters Tankan Index for May, a key gauge of Japanese business confidence, will be due the same day.THURSDAY, May 21Japan will release several economic indicators on Thursday, including April trade data and March machinery orders.The country is expected to report a trade deficit of 29.7 billion yen for the month, reversing from a surplus of 667 billion yen in March, according to a Trading Economics consensus.New Zealand will similarly report its April trade balance, with analysts forecasting a trade surplus of around NZ$840 million, according to a Trading Economics consensus.Neighboring Australia will report labor data for April. Westpac expects unemployment to remain at 4.3%.Elsewhere, Hong Kong will report April inflation data while Macau will disclose first-quarter retail sales stats. In South Korea, the April producer price inflation data will be due.On the activity front, S&P Global will release flash purchasing managers' index reports covering May manufacturing, services, and composite activity in India, Australia and Japan.FRIDAY, May 22Japan's April inflation print will capture headlines on Friday, giving markets a look into how the energy shock from the Middle East conflict is impacting the economy.Economists at ING said energy effects may have a limited impact on growth but a greater impact on inflation, which is expected to clock in at 1.8% year on year in April -- up from 1.5% in March."Higher energy costs are expected to increase overall inflation. The impact, though, will likely be still less significant than that observed in other Asian and developed countries," ING said in a note.Inflation data will also be due in Macau.Meanwhile, Taiwan could see a marginal drop in its unemployment when it releases April labor stats. According to Trading Economics, Taiwan's jobless rate could go down to 3.3% from 3.35%.New Zealand is expected to see a "muted" rise in real retail sales when reporting its Q1 data, Westpac said in a preview. The bank expects a rise of 0.2% for the first three months of the year, versus the 0.9% growth recorded in the previous quarter. "The latter part of March saw fuel prices rising sharply, and that has been a drag on spending," Westpac said.Lastly, South Korea will release a report capturing consumer confidence for May. ING said it expects consumer sentiment to deteriorate further amid inflation hikes and energy headwinds.

Korea Exchange Halts Kospi Trading for Five Minutes After Strong Sell-Off Amid Continued US-Iran Conflict

The Korea Exchange activated a five-minute sell-side sidecar on the country's primary stock market on Monday morning amid the frantic sell-off as investors reacted to last week's losses on Wall Street amid increasing inflation concerns related to the ongoing US-Iran conflict.The Korea Exchange announced the order at 9:19 am after the KOSPI200 Futures declined 60.24 points, or 5.1%, to trade at 1,112.46.A sell-side sidecar is activated when the KOSPI200 Futures index declines 5% or more for at least one minute.

South Korean Stocks Open Lower Amid US-Iran Deadlock

South Korean stocks opened lower on Monday, forcing regulators to trigger a second consecutive sell-side sidecar as investors reacted to last week's losses on Wall Street.The benchmark Korea Composite Stock Price Index, or Kospi, fell 0.7%, or 49.89 points, to open at 7,443.29. The Kosdaq also decreased by 7.25 points to open at 1,122.57.The Kospi at one point dropped more than 5% to 7,142.71.The Korea Exchange activated a five-minute sell-side sidecar on the country's primary stock market on Monday morning amid the selloff.The Korea Exchange announced the order at 9:19 am after the KOSPI200 Futures declined 60.24 points, or 5.1%, to trade at 1,112.46.The selloff comes amid growing concerns about inflation linked to the fragile ceasefire deadlock between the US and Iran. The United Arab Emirates said Sunday that a drone strike had triggered a fire outside the Barakah Nuclear Power Plant's inner perimeter in Abu Dhabi. Emirati authorities are investigating the origin of the attack, with the defense ministry reporting that three drones entered the UAE from the western border direction.Oil prices rose over 1% after the drone attack, with Brent crude up 1.24% to $110.62 a barrel and West Texas Intermediate gaining 1.75% to $107.26 by late Sunday.

South Korean Stocks Plunge Over 6% on Profit-Booking After Touching 8,000-Point Threshold

South Korean stocks plunged on Friday, with the Kospi closing below 7,500 points after briefly touching the 8,000-point threshold earlier in the day. Investors rushed to book profits after the historic milestone was achieved.The Kospi had opened slightly lower in the day but quickly rebounded, briefly surpassing the 8,000 mark before sharply reversing. The index later plunged to as low as 7,371.68, triggering a sell-side sidecar around 1:30pm, which was the first such measure since April 2.The Korea Composite Stock Price Index or Kospi decreased by 488.23 points, or 6.1%, to end at 7,493.18. The Kosdaq also declined by 61.27 points, or 5.1%, to close at 1,129.82.In economic news, South Korea's export prices rose 40.8% year-over-year in April, while import prices gained 20.2%, according to preliminary data from the Bank of Korea released on Friday.On a month-on-month basis, the export price index increased 7.1%, while the import price index declined 2.3%, the data showed.The net barter terms of trade index gained 14.3% on-year during the month.In corporate news, Hana Financial Group's (KRX:086790) Hana Bank will acquire 6.55% of crypto exchange operator Dunamu for 1.003 trillion won, the financial group said in a Friday filing with the Korea Exchange.The bank will acquire 2.28 million shares in the target on June 15, which are currently held by Kakao (KRX:035720) subsidiary Kakao Investment. The transaction will be settled in cash, the filing said.Shares of Hana Financial Group fell nearly 6% at market close, while those of Kakao declined over 4%.

South Korea's Export, Import Prices Jump in April

South Korea's export prices rose 40.8% year-over-year in April, while import prices gained 20.2%, according to preliminary data from the Bank of Korea released on Friday.On a month-on-month basis, the export price index increased 7.1%, while the import price index declined 2.3%, the data showed.The net barter terms of trade index gained 14.3% on-year during the month.

Market Chatter: Seoul House Price Surge Could Make Way for Policy Tightening Ahead

South Korea's housing rally is accelerating, with apartment prices in Seoul rose 0.28% in the week to May 11, which could make way for the Bank of Korea to adopt a more hawkish stance amid the increasing inflation pressures as the US-Iran conflict drags on, Bloomberg reported Thursday.The increase in Seoul apartment prices in the week to May 11 marked the 67th straight weekly gain and the fastest pace since Jan. 26, the report cited the Korea Real Estate Board.House prices across the country also climbed higher during the period, adding 0.06% in the reported week.The jump in apartment prices raises expectations of a tighter policy to be put in place by the central bank. The Bank of Korea is set to hold its next policy meeting on May 28, with newly appointed Governor Shin Hyun Song to preside over the proceedings, Bloomberg reported.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

South Korean Stocks Close Higher as Investors Eye US-China Talks

South Korean shares closed higher on Thursday, as investors closely followed the ongoing U.S.-China talks in Beijing.The Korea Composite Stock Price Index or Kospi increased by 137.4 points, or 1.8%, to end at 7,981.41. The Kosdaq declined by 14.16 points, or 1.2%, to close at 1,191.09.In economic news, South Korea's money supply increased in March, as the broad money, or M2, rose 0.4% to 4,132.1 trillion won from 4,113.6 trillion won a month earlier, the Bank of Korea said.The country's narrow money, or M1, increased 0.7% to 1,368.7 trillion won from 1,358.6 trillion won in February.In corporate news, Samsung Fire & Marine Insurance (KRX:000810) closed 8% higher after posting first-quarter net income of 634.7 billion won, up 4.4% from 608.1 billion won a year earlier.

South Korea's Money Supply Increases in March

South Korea's money supply increased in March, with the broad money, or M2, rising 0.4% to 4,132.1 trillion won from 4,113.6 trillion won a month earlier, the Bank of Korea said Thursday.M2 is a gauge of the money supply that encompasses cash, demand deposits, and other readily convertible financial instruments.The country's narrow money, or M1, increased 0.7% to 1,368.7 trillion won in the month from 1,358.6 trillion won in February.

South Korean Shares Open at New High as Tech, Auto Stocks Track US Rally

South Korean shares opened higher on Thursday, owing to gains made by technology and automotive stocks and an overnight rally on Wall Street.The benchmark Korea Composite Stock Price Index, or Kospi, added 0.4%, or 29.9 points, to open at 7,873.91. The Kosdaq also increased by 10.09 points to open at 1,187.02.Major market movers, chipmaker Samsung Electronics (KRX:005930) and automaker Hyundai Motor (KRX:005380) added nearly 4% and 3%, respectively, in Thursday morning trade.The tech-laden Nasdaq Composite added 1.2% on Wednesday, and the S&P 500 added 0.58%, while the Dow Jones Industrial Average shed 0.14%. Losses in telecommunications, utilities, and financials sectors dragged stocks lower.Investors kept a close eye on US-China talks this week, as US President Donald Trump arrived in Beijing on Wednesday for a state visit, marking his second in-person meeting with Xi Jinping since October 2025 and the first visit to China by a US president in nine years.Trump is expected to seek China's support in pressuring Iran to advance peace negotiations and reopen the Strait of Hormuz to shipping traffic, according to a Guardian report.However, earlier this week, the US imposed sanctions on several Chinese firms accused of supporting Iranian oil shipments and offering satellite imagery allegedly used in Iranian military operations. Beijing has denied these allegations. Trump's visit also follows Iranian Foreign Minister Abbas Araghchi's trip to Beijing last week.

South Korean Shares Hit New High on Chip, Auto Gains

South Korean shares closed at a new high on Wednesday, after rebounding from the previous day's losses, owing to gains made by chip and automotive stocks.Shares of major market movers Samsung Electronics (KRX:005930), SK Kynix (KRX:000660), Hyundai Motor (KRX:005380), and Kia (KRX:000270) added nearly 2%, 8%, 10%, and about 7% at market close.The Korea Composite Stock Price Index or Kospi increased by 200.86 points, or 2.6%, to end at 7,844.01. The Kosdaq declined by 2.36 points, or 0.2%, to close at 1,176.93.In economic news, the seasonally adjusted unemployment rate in South Korea in April edged up to 2.8% from 2.7% in March, data from Statistics Korea indicated Wednesday.On an annual basis, the unemployment rate remained unchanged.The number of unemployed people fell to 853,000 in April from 854,000 a year earlier.In corporate news, Hanwha Engine (KRX:082740) secured a contract for a ship engine from Hanwha Ocean (KRX:042660), according to a Wednesday filing with the Korean Exchange.The contract, valued at 354.2 billion won, is valid until June 26, 2028.Shares of Hanwha Engine rose nearly 2% at market close.

South Korea to Raise Safety Inspections on Overseas Direct Purchases

South Korea plans to increase safety inspections on its overseas direct purchase on concerns about the influx of hazardous products amid an increase in cross-border e-commerce and online sales, the Office for Government Policy Coordination said in a Wednesday release.Safety inspections will be raised to over 2,000 by 2028 from about 1,000 cases in 2025.The government plans to boost inspection by applying data and AI across the entire product safety lifecycle and shifting toward preventive regulation, the release said.The initiative outlines four core strategies and 16 key tasks that are aimed at improving public confidence, it said.

South Korean Shares Open Lower on Wall Street Losses, Faster US Inflation

South Korean shares opened lower on Wednesday, tracking losses on Wall Street, amid a sell-off in chip shares, the fastest U.S. inflation since May 2023, and uncertainties in the Middle East war.The benchmark Korea Composite Stock Price Index, or Kospi, fell by 129.5 points to open at 7,513.65. The Kosdaq declined by 2.85 points to open at 1,176.43.Mohammad Bagher Ghalibaf, the speaker of Iran's parliament, said Monday that the country's military was ready to "teach a lesson" to any aggressor, after US President Trump rejected Iran's response to the recent peace proposal and said the ceasefire was "on life support."Trump dismissed Tehran's response as extremely weak, adding that he did not fully read the proposal, called it "garbage," and questioned whether the truce could hold.Amid uncertainties, the Korean won also weakened against the greenback, opening at 1,493.8 won per dollar, down 3.9 won from Tuesday's close.In addition, a 3.8% increase in annual US inflation in April impacted sentiment. The higher-than-expected inflation was a result of a jump in the prices of gasoline and groceries last month. The Bureau of Labor Statistics said nearly half of the jump was driven by rising energy costs, with housing and food prices also contributing to the uptick.Overnight losses in US stocks also led to an erosion in the appetite for South Korean stocks. The Nasdaq Composite led declines, declining about 0.7%, while the S&P 500 slipped over 0.1%. On the other hand, the Dow Jones Industrial Average edged up 0.1%, supported by its lower exposure to technology stocks.

South Korea's Jobless Rate Edges Up in April

The seasonally adjusted unemployment rate in South Korea in April edged up to 2.8% from 2.7% in March, data from Statistics Korea indicated Wednesday.On an annual basis, the unemployment rate remained unchanged.The number of unemployed people fell to 853,000 in April from 854,000 a year earlier.The number of employed people increased by 74,000 to hit 28.96 million last month from 28.9 million in the year-ago period.

South Korea's Unemployment Rate Slightly Eases to 2.9% in April

South Korean Shares Plummet as US-Iran Tensions Halt Winning Streak

South Korean shares snapped a five-session winning streak on Tuesday, with the Kospi and Kosdaq both sliding 2.3% as stalled geopolitical negotiations in the Middle East prompted widespread profit-taking.The Korea Composite Stock Price Index or Kospi decreased by 179.09 points, or 2.3%, to end at 7,643.15. The Kosdaq also declined by 28.05 points, or 2.3%, to close at 1,179.29.In corporate news, the head of Samsung Electronics' (KRX:005930) largest labor union, Choi Seung-ho, said a planned strike may be preventable if management improves transparency around compensation, citing growing distrust among employees and concerns over talent leaving for competitors.Cho criticized the company's discretionary bonus adjustment system as "opaque."Talks between the 70,000-member-strong union and management have resumed under the mediation of the Central Labor Relations Commission under South Korea's Ministry of Employment and Labor.The union has warned of an extended strike if negotiations fail and is pushing to remove caps on bonuses tied to company performance.Shares of the chipmaker fell over 2% at market close.In other news, CJ Seafood (KRX:011150) posted a first-quarter net loss attributable to shareholders of 1.29 billion won, swinging from an attributable net income of 231 million won a year earlier, according to a Tuesday filing with the Korea Exchange.Sales of the processed meat and seafood company were up 4.6% year over year to 55 billion won from 52.5 billion won.Shares of CJ Seafood fell more than 1% at market close.

South Korean Shares Open at New High on Extended Chip Rally Despite No Progress in US-Iran Talks

South Korean shares opened at a new high on Tuesday, owing to an extended rally of chip stocks, primarily led by Samsung Electronics (KRX:005930) and SK Hynix (KRX:000660), which gained over 1% and nearly 4%, respectively, in morning trade.The benchmark Korea Composite Stock Price Index, or Kospi, rose by 131.17 points to open at 7,953.41. The Kosdaq gained 7.56 points to open at 1,214.90.Investors appeared to pay no heed to the lack of progress in U.S.-Iran peace talks.U.S. President Donald Trump said Monday that the ceasefire with Iran was "on life support" after he rejected Tehran's latest proposal and deemed it unacceptable.Iran pushed back, with Foreign Ministry spokesman Esmaeil Baghaei accusing the US of making unreasonable demands, while parliament speaker Mohammad Bagher Ghalibaf said that the U.S. must accept the Iranian proposal, and warned that Tehran was ready to respond to any aggression.

South Korea's Kospi Hits All-Time High; Samsung Rises 6%

South Korea's benchmark index Kospi closed at an all-time high on Monday, with the rally driven by chip giants Samsung Electronics (KRX:005930) and SK Hynix (KRX:000660), which gained over 6% and nearly 12%, respectively.The Korea Composite Stock Price Index or Kospi increased by 324.24 points, or 4.3%, to end at 7,822.24. The Kosdaq finished little changed in negative territory at 1,207.34.In economic news, South Korea's exports surged 43.7% to $18.4 billion in the first 10 days of May from $12.8 billion a year earlier, Monday data from the Korea Customs Service showed.Imports increased 14.9% to $16.7 billion, resulting in a $1.7 billion trade surplus.In corporate news, shares of Hanwha Ocean (KRX:042660) rose 3% after the company secured a 363.2 billion won order for a liquefied natural gas carrier from a Europe-based shipper.In other news, Hyundai Motor Group and Korea Aerospace Industries (KRX:047810) signed a memorandum of understanding to develop advanced air mobility solutions.Shares of Hyundai (KRX:005380) closed 5% higher, while those of Korea Aerospace edged up 2%.

Korea Exchange Halts Kospi Trading for Five Minutes After Buying Surges on Chip Stocks Rally

The Korea Exchange activated a five-minute buy-side sidecar on the country's primary stock market on Monday morning as investors rushed to purchase securities amid a rally due to strong gains made by key chip stocks.The Korea Exchange announced the order at 9:29 am after the KOSPI200 Futures added 58.82 points, or 5.1%, to trade at 1,210.54.A buy-side sidecar is activated when the KOSPI200 Futures index gains 5% or more for at least one minute.

South Korean Shares Open Higher on Chip Rally Despite US-Iran Peace Agreement Fallout, Oil Price Jump

South Korean shares opened higher on Monday, owing to gains made by chipmakers despite the fallout of the US-Iran peace agreement.US President Donald Trump dismissed Iran's response to the former's proposals to end the ongoing war as "totally unacceptable."The benchmark Korea Composite Stock Price Index, or Kospi, rose by 277.31 points to open at 7,775.31. The Kosdaq gained marginally to open at 1,212.88.Shares of key chipmakers Samsung Electronics (KRX:005930) and SK Hynix (KRX:000660) were trading over 7% and 11% higher in Monday morning trade, tracking recent gains on Wall Street.Iran had forwarded a proposal to the US through Pakistan to end the conflict, calling for an immediate ceasefire across all fronts, an end to the U.S. naval blockade, and assurance of no further attacks, according to Tasnim news agency.However, Trump on Sunday evening accused Iran of "playing games", which raised concerns over a possible fallout to reach a peace agreement between the US and Iran.In addition, oil prices jumped on Monday after Israeli Prime Minister Benjamin Netanyahu warned that the military conflict with Iran was "not over." U.S. West Texas Intermediate futures with June delivery rose 3.08% to $95.42 per barrel, while the international benchmark Brent crude futures with July delivery increased 3.16% to $104.49 per barrel.