South Korean equities surged 16% in early trade on Friday, driven by a fresh wave of investment into global semiconductor stocks.
The sharp rally marks a dramatic reversal for the KOSPI index, which has been volatile in recent sessions as investors weighed competing narratives around AI demand and geopolitical risks.
52% higher on Thursday, propelled by sustained buying in technology stocks.
The buying pressure followed a broader stabilization in the semiconductor sector, where selling pressure had previously abated on signs of US economic optimism.
South Korea's benchmark index had already closed 2.52% higher on Thursday, propelled by sustained buying in technology stocks.
The Friday move extends that momentum, suggesting that market participants are increasingly confident in the resilience of chip demand despite earlier concerns about Chinese competition weighing on the AI outlook.
This swing highlights the sensitivity of South Korean markets to global semiconductor sentiment.