New Delhi, March 5 -- On optimism about a de-escalation in the US-Iran war, the Asian stock market witnessed strong buying in the early morning session on Thursday. South Korea's Kospi soared more than 12% on Thursday, rebounding sharply from its steepest single-day fall and putting it on track for its strongest session, according to LSEG data.

Index heavyweights SK Hynix and Samsung Electronics rallied over 15% and 14%, respectively. Meanwhile, the South Korean won appreciated 0.14% against the US dollar, last trading at 1,460.60.

The small-cap Kosdaq advanced more than 11%. The benchmark index had slumped 12% on Wednesday, marking its worst-ever daily decline. The sell-off earlier this week was largely triggered by a sharp rise in oil...