South Korean equities surged on Tuesday, recovering sharply from the previous session's heavy selloff. The benchmark KOSPI jumped 8.18% to close at 8,096.93, marking its strongest one-day gain since May and reversing much of Monday's 8.3% decline, which had been the market's worst drop in three months. The rebound reflected renewed investor confidence and aggressive dip-buying after the recent correction.

Technology stocks led the recovery, with semiconductor heavyweights driving most of the gains. Samsung Electronics surged nearly 9%, while SK Hynix soared almost 16%. The rally mirrored strong gains in U.S. semiconductor stocks overnight, as investors returned to AI-related names following last week's sharp sector-wide selloff. Analysts noted that bargain hunting in chipmakers played a major role in lifting market sentiment.

Investor confidence was also supported by stronger-than-expected first-quarter economic growth data, highlighting the resilience of South Korea's export-driven economy despite concerns over global trade and economic slowdown. Other major stocks participated in the recovery, with LG Energy Solution rising over 2%, Kia Corporation gaining more than 8%, and Samsung Biologics advancing over 4%.

Despite the market rebound, foreign investors remained net sellers, offloading shares worth around 2 trillion won. Meanwhile, the South Korean won strengthened nearly 1% against the U.S. dollar, and government bond yields declined as investors sought safety. Authorities also reiterated their commitment to crack down on speculative trading and market manipulation, aiming to maintain stability in financial and currency markets.