South Korean Shares Climb as Chip Stocks Rally

The benchmark KOSPI rose nearly 3% to around 6,530 on Wednesday, extending gains for a third straight session, led by major technology stocks. Samsung Electronics jumped more than 4%, and SK hynix gained over 2%, with both shares extending gains following a report that Singapore’s Temasek Holdings is considering direct investments in the chipmakers. Expectations of increased shareholder returns and strong AI-related demand also supported sentiment. Other notable gainers included SK Square (9.1%), Hyundai Motor (1.4%), LG Energy Solution (3.4%), Hanwha Aerospace (3.0%), and Doosan Enerbility (3.0%). Investors also looked ahead to the U.S. July inflation report, with a softer-than-expected reading potentially easing concerns over a September Federal Reserve rate hike. Meanwhile, renewed tensions in the Middle East posed a risk to sentiment after hopes for a potential US-Iran peace deal faded, while the continued closure of the Strait of Hormuz pushed US crude prices above $83 a barrel.






