Asian stocks end 2025 quietly as Korean chipmakers steal the spotlight

Graphics by AJP Song Ji-yoon
SEOUL, December 30 (AJP) - Asian equities wrapped up the final trading session of 2025 mostly flat on Tuesday, while South Korean semiconductor shares closed the year in celebratory fashion, hitting fresh all-time highs.

Korea’s benchmark KOSPI slipped 0.15 percent to finish at 4,214.17. Despite the modest pullback, the index logged a surge of more than 75 percent from the final trading day of last year — the strongest annual performance among major Asian stock markets.

Foreign and institutional investors locked in profits ahead of year-end, net selling 472.8 billion won ($327 million) and 368.9 billion won, respectively. Retail investors absorbed the selling pressure, posting net purchases of 818.9 billion won in a final-year buying spree.

The won weakened as demand for dollars rose toward year-end settlement, with the currency closing at 1,446.8 per dollar, down 12.3 won as of 4:20 p.m. The softer currency pushed bond yields higher across the curve. The three-year government bond yield rose 1.3 basis points to 2.952 percent, while the 10-year yield climbed 3.1 basis points to 3.385 percent.

Semiconductor heavyweights led the market’s standout gains. SK hynix advanced 1.72 percent to 651,000 won, while Samsung Electronics added 0.33 percent to 119,900 won, with both stocks setting new all-time highs. The rally followed an upbeat outlook from Nomura Securities, which set 2026 target prices of 160,000 won for Samsung Electronics and 880,000 won for SK hynix.

Shares of Hyundai Motor Group affiliates also moved higher. Hyundai Motor rose 1 percent to 296,500 won, Hyundai Mobis gained 1.77 percent to 373,000 won, and Hyundai AutoEver jumped 6.41 percent to 332,000 won, leading gains within the group.

Battery-related stocks, however, underperformed. LG Energy Solution fell 3 percent to 368,500 won, weighed down by a series of contract cancellations, while rival Samsung SDI slid 2.9 percent to 269,500 won.

The tech-heavy KOSDAQ underperformed regional peers, dropping 0.76 percent to 925.47, as foreign investors offloaded a net 312.3 billion won to lock in profits.

Elsewhere in Asia, Japan’s Nikkei 225 slipped 0.37 percent to 50,339.48. Toyota Motor fell 0.24 percent to 3,356 yen, while Honda Motor declined 0.32 percent to 1,536 yen. Semiconductor-related stocks showed mixed performance, with Ibiden rising 1.58 percent and Disco gaining 0.88 percent, while Advantest fell 0.73 percent to 19,635 yen.

Taiwan’s TAIEX also retreated, closing 0.36 percent lower at 28,707.13. Heavyweights dragged on the index, with TSMC slipping 0.65 percent to 1,520 Taiwan dollars ($48.46) and Foxconn falling 1.3 percent to 228 Taiwan dollars. MediaTek ended flat at 1,420 Taiwan dollars.

Mainland Chinese markets were little changed. The Shanghai Composite finished nearly flat at 3,965.12, while the Shenzhen Composite rose 0.49 percent to 13,604.07. Hong Kong’s Hang Seng Index ended 0.6 percent higher at 25,828.25.

Most regional markets close for the year after Tuesday, though mainland Chinese exchanges will continue trading through Wednesday.
Kim Yeon-jae Reporter duswogmlwo77@ajupress.com