South Korean shares rise as chipmakers rebound from AI-led selloff
The benchmark KOSPI index climbed 1.57 per cent on Monday as investors reacted to assurances regarding GPU supply stability.
South Korean shares rose 1 per cent on Monday as chipmakers recovered from an artificial intelligence-driven selloff last week, according to Mint.
The benchmark KOSPI index increased by 79.58 points, or 1.57 per cent, to reach 5,139.27. This follows a 6 per cent drop on Friday, which was the index's lowest close since March 31.
A senior South Korean official stated that issues currently affecting Nvidia would not impact the country's contracted supply of graphics processing units (GPU) from the US chipmaker. Memory-chip giants Samsung Electronics and SK Hynix saw shares climb 2.9 per cent and 4.7 per cent, respectively.
Other market movements included Samsung BioLogics rising 2.37 per cent, while battery maker LG Energy Solution fell 2.37 per cent. Hyundai Motor and Kia Corp declined by 0.89 per cent and 2.59 per cent, respectively.
Han Ji-young, an analyst at Kiwoom Securities, said on Monday that a market crash like last week is unlikely to repeat unless more bad news arrives from macroeconomic and AI earnings events this week.
Foreigners were net sellers of shares worth 512.1 billion won. The Korean won strengthened to 1,360.6 per dollar, while the benchmark 10-year treasury bond yield rose 2.5 basis points to 3.877 per cent.