The KOSPI surged by more than 3 percent on Monday and rose above the 6,000 level. The benchmark index returned to 6,000 for the first time since Feb. 27, just before the outbreak of war between the United States and Iran.

As of 10:46 a.m., the KOSPI was up 194.31 points, or 3.35 percent, at 6,002.93 from the previous session. The index opened up 151.38 points, or 2.61 percent, at 5,960.00 and extended gains. It climbed as high as 6,003.80 in intraday trade to break above 6,000.

By investor type, foreigners were net buyers of 414.3 billion won and institutions were net buyers of 515.5 billion won. Retail investors were net sellers of 1.0075 trillion won.

Most of the top stocks by market capitalisation were higher. In particular, chipmakers led gains and drove the index higher. Samsung Electronics was up 3.73 percent at 208,500 won and SK Hynix rose 7.40 percent to 1,117,000 won.

Hyundai Motor rose 4.08 percent, SK Square climbed 8.10 percent, LG Energy Solution gained 0.50 percent, Samsung Biologics added 0.06 percent, Doosan Enerbility rose 0.81 percent and Kia gained 2.10 percent.

Hanwha Aerospace fell 1.11 percent, the only decliner.

The KOSDAQ was up 24.54 points, or 2.23 percent, at 1,124.38.

The won was at 1,482.80 per dollar, down 2.30 won from the previous session.

Han Ji-young (한지영), a researcher at Kiwoom Securities, said buying would concentrate in the domestic stock market on expectations for follow-up talks between the United States and Iran, a rise of about 3.2 percent in KOSPI overnight futures and the impact of the exchange rate. She said it was necessary to pay attention to changes in foreigners' trading patterns, which have been shaping the direction of the domestic stock market since the U.S.-Iran war.