KOSPI leads Asian rally as AI demand boosts chip stocks

Asian markets rallied, led by South Korea’s KOSPI surging over 3% on AI optimism and strong chip demand. SK Hynix and Samsung Electronics posted significant gains.

Asian markets started the week with broad gains, driven by optimism in the semiconductor sector and recent geopolitical events. South Korea’s KOSPI index surged over 3%, led by strong performances from SK Hynix and Samsung Electronics. Both companies benefited from renewed AI demand and tight memory chip inventories, with SK Hynix shares jumping more than 7% after OpenAI unveiled its advanced GPT-6 Astra model. Samsung Electronics also gained around 4% to 5%. Japanese indices climbed as well, with the Nikkei 225 up nearly 2%, while Chinese markets posted mixed results. The rally in Korean stocks was further supported by record semiconductor exports and positive economic fundamentals. Goldman Sachs maintained a bullish 12,000 target for the KOSPI, citing the ongoing AI-driven memory cycle. Meanwhile, geopolitical tensions between the US and Iran continued to impact energy and financial markets, with no immediate diplomatic resolution in sight.