The Kospi index has rallied 29.5% from its low on 30 July, driven by strong earnings reports from technology companies and a more positive outlook on semiconductor and memory chip manufacturers, according to Commerzbank.
This rebound reflects renewed investor confidence in South Korea's tech sector, which plays a critical role in the global supply chain for semiconductors and memory chips. The improved sentiment has also supported the South Korean Won against major currencies.
For Japanese investors, the Kospi's recovery underscores the interconnectedness of regional tech markets, suggesting potential spillover effects on Japanese semiconductor and electronics equities.