Asian stocks rose on Thursday, supported by gains in technology and healthcare. South Korea’s KOSPI led the rally, climbing to record highs as chipmakers surged on optimism around artificial intelligence development.
Trading volumes across the region were muted with mainland Chinese markets closed for a week-long holiday, while Indian markets were also shut.
Asian shares followed strength on Wall Street, where the S&P 500 closed at a record high overnight, helped by strong tech and healthcare stocks. S&P 500 futures added 0.1% in Asian hours.
KOSPI Hits Record on AI-Driven Chip Rally
South Korea’s KOSPI jumped 3% to a record 3,565.71 points. SK Hynix (KS:000660) soared 11% to an all-time high, while Samsung Electronics (KS:005930) gained 4.5% to a near six-year peak. Both companies surged after signing a preliminary deal with OpenAI to supply memory chips and build data centers in South Korea for its $500 billion “Stargate” project.
SK Hynix, already a key supplier of advanced memory to NVIDIA (NASDAQ:NVDA), will provide high-bandwidth chips, while Samsung recently secured approval to supply Nvidia with its HBM chips.
Tech strength overshadowed higher-than-expected South Korean inflation data, which could slow Bank of Korea’s pace of rate cuts.
Regional Chipmakers and EV Stocks Advance
Chipmakers across Asia also rallied. Taiwan’s TSMC (TW:2330) climbed more than 3% to a record high. Japan’s Advantest (TYO:6857) rose 1.4%, and Tokyo Electron (TYO:8035) gained 7%. In Hong Kong, Semiconductor Manufacturing International Corp (HK:0981) jumped 9.3%, while Hua Hong Semiconductor (HK:1347) rose 5.4%.
Strength in chips lifted Hong Kong’s Hang Seng index by 1.4%. Chinese EV makers also supported the gains, with NIO Inc. (HK:9866) up 4.5% after record Q3 deliveries. BYD (HK:1211) rose 2.5% despite reporting a year-on-year decline. Investors are now awaiting Tesla’s (NASDAQ:TSLA) Q3 delivery figures later Thursday.
Singapore’s Straits Times gained 1.1%, while Japan’s Nikkei 225 added 0.3%. The TOPIX slipped 0.1% after strong gains earlier in the week.
Australia’s ASX Rises on Mining Boost
Australia’s ASX 200 climbed 1.1%, lifted by mining stocks after reports that the U.S. government plans to buy stakes in Australian critical mineral companies to secure supply and reduce reliance on China.
Mining giants BHP (ASX:BHP) and Rio Tinto (ASX:RIO) rose about 2% each. Smaller miners also advanced, with Lynas Rare Earths (ASX:LYC), Pilbara Minerals (ASX:PLS), and Liontown Resources (ASX:LTR) up between 2% and 8%.
The rally came despite data showing a steep drop in Australia’s August trade balance.
