South Korean defense stocks saw massive gains on Tuesday after the country’s markets returned from a public holiday, as the Iran war fuels interest in defense names globally.
Heavyweight Hanwha Aerospace, which is South Korea’s largest defense manufacturer, saw shares surge 22%, while Korea Aerospace Industries gained more than 7%.
Shares in Lignex1, maker of South Korean air defense systems, soared 30%, while Victek and Firstec, which make electronic warfare systems and anti-aircraft missile components, respectively, rose more than 20%.
Ammunition manufacturer Poongsan was up 14%, while Hyundai Rotem, maker of the K2 main battle tank, was up over 18%.
The sector’s gains were in sharp contrast to the wider Kospi, which was down 2% and is currently leading losses in Asian markets.
