Global Market: Kospi extends winning streak to six sessions, jumps over 2% on chip gains

South Korean shares surged more than 2% on Tuesday, reaching their highest level in a month, as chipmakers tracked an overnight rally in U.S. semiconductor stocks driven by optimism over artificial intelligence demand, as per a report by Reuters.

The benchmark Kospi rose 190.63 points, or 2.73%, to 7,168.57 by 0127 GMT, extending its winning streak to six sessions and reaching its highest intraday level since July 15. South Korean financial markets were closed on Monday.

The Philadelphia Semiconductor Index gained 1.6% on Monday, while Micron Technology climbed 4% and Applied Materials advanced 5.5%, despite broader weakness across Wall Street. According to Reuters, investors are also focusing on Nvidia's results due next week, with the world's most valuable company expected to provide fresh signals on the strength of AI-related demand.


Samsung Electronics rose 3.01%, while SK Hynix jumped 7.72%, making the two chipmakers among the biggest drivers of the Kospi's gains.

Elsewhere, battery maker LG Energy Solution fell 2.03%. Hyundai Motor was unchanged, while Kia Corp slipped 0.56%. POSCO Holdings declined 0.75% and Samsung BioLogics lost 1.03%.

Of the 906 stocks traded, 281 advanced and 603 declined. Foreign investors were net buyers of South Korean shares worth 1.1 trillion won ($780.58 million), according to the report by Reuters.

The South Korean won strengthened 0.43% to 1,409.5 per dollar on the onshore settlement platform, compared with its previous close of 1,415.6.

In South Korea's bond market, September futures on three-year Treasury bonds fell 0.18 point to 103.06. The most liquid three-year Korean Treasury bond yield rose 9.5 basis points to 3.864%, while the benchmark 10-year yield increased 10.2 basis points to 4.402%, the report stated.