South Korean defense stocks surged to new highs on Monday amid escalating tensions between Israel and Iran.
As of 9:28 a.m. on Monday, Hyundai Rotem’s stock price climbed 3.16% to 192,700 KRW (approximately 141.91 USD). During intraday trading, it reached an all-time high of 194,300 KRW (approximately 143.09 USD).
Korea Aerospace Industries and LIGNex1 also saw significant gains, with their shares hitting new 52-week highs of 101,800 KRW (approximately 74.97 USD) and 546,000 KRW (approximately 402.15 USD), respectively.
The surge in defense stocks is attributed to the intensifying conflict between Israel and Iran. On June 13, Israel launched preemptive strikes against Iranian nuclear facilities, military leadership, and nuclear scientists, prompting immediate retaliation from Iran. As hostilities continue, neither side has shown willingness to negotiate thus far. The escalating military tensions have also led to the cancellation of the sixth round of nuclear talks between the United States and Iran, which was scheduled for June 15.
