FX.co ★ South Korean Shares Hit New Record on Chip Rally

The benchmark KOSPI surged more than 4% to around 8,385 on Wednesday, setting a new record high as a global AI-fueled semiconductor rally bolstered demand for Korean technology stocks. Robust overnight gains on Wall Street spurred heavy buying in Samsung Electronics (up 6.4%) and SK hynix (up 9.9%), with SK hynix joining Samsung Electronics and Micron Technology in the $1 trillion market capitalization club. Other notable gainers included SK Square (10.2%), LG Innotek (4.0%), and HD Hyundai Co. (3.3%). Sentiment was further underpinned by an improvement in business confidence, which rose to its highest level in more than three years, reinforcing optimism about South Korea’s semiconductor-led economic outlook. At the same time, investors kept a close eye on developments in the Middle East, as renewed US military strikes against Iran curbed optimism over ongoing ceasefire and peace talks, maintaining concerns over energy prices and inflation risks.