The debate over whether the global semiconductor industry is entering a cyclical peak or a prolonged supercycle has intensified, coinciding with South Korea’s Kospi index closing at a fresh all-time high above the 9,100 level.
Market participants are scrutinizing the sustainability of the current rally, which has been broad-based but fundamentally anchored in the chip sector’s performance.
The divergence in market sentiment reflects broader uncertainty about the durability of artificial intelligence-driven demand.
While some analysts warn of potential overheating in equity valuations, others point to structural supply constraints that support continued price strength.
The Kospi’s ascent has drawn particular attention given South Korea’s heavy weighting in memory and foundry producers, making the index a key barometer for global chip health.
The Bank of Korea has signaled that the global semiconductor market remains undersupplied, with the central bank expecting the current AI-driven supercycle to continue for the foreseeable future.