Global Markets
Kospi jumps more than 4% as Samsung and SK Hynix rebound on Super Micro's upbeat update
Asian chip stocks rallied on Wednesday morning, recovering much of the previous day's slide in Seoul.
HedgeWeekly News Desk ·
South Korea's Kospi rose 4.6% to 5,805.63 in Wednesday morning trade, according to Investing.com, as chipmakers led a rebound across Asia. Samsung Electronics gained 6.2% and SK Hynix 6.5%.
The move follows two losing sessions. The Kospi closed down 3.73% at 5,552.74 on Tuesday, a drop KED Global linked to rising government bond yields, political turmoil in France and uncertainty ahead of the US midterms. KED Global reported that foreign and institutional investors turned net buyers early on Wednesday, outweighing retail selling.
Japan's Nikkei 225 climbed 1.7% to 65,162 in the same Investing.com report, with Kioxia up 4%, Murata Manufacturing up 3.7% and TDK up 3.5%. Gains were smaller elsewhere: Taiwan Semiconductor rose 0.8%, while Hong Kong's Hang Seng added 0.3% to 23,943 by Trading Economics' count, after falling 1.3% on Tuesday.
Why it matters: the rally was sparked by Super Micro Computer, which said its quarterly revenue would come in at $18.5 billion to $19.5 billion, well above its earlier guidance. Korea's index is heavily exposed to memory chipmakers, so it has swung sharply on shifting views of AI spending, and Tuesday's loss was almost wiped out within a morning. The figures are intraday and may change before the close. Super Micro's numbers are preliminary until it reports on November 3, so Asian chip stocks remain sensitive to the US tech earnings still to come.