Samsung Electronics, SK Hynix Jump as Softer US Inflation, SanDisk Lift Chip Stocks
Summary
- Samsung Electronics, SK Hynix and other major chip stocks were surging as US inflation pressure eased and rate-cut expectations revived.
- Growing long-term supply contracts driven by strong AI infrastructure demand at SanDisk helped lead the semiconductor rally and improve investor sentiment.
- Analyst Han Ji-young said South Korea’s stock market is likely to remain firm, supported by relief over the US July PPI and SanDisk-driven optimism.
Forecast Trend Report by Period
SK Hynix jumps more than 5%
Samsung Electro-Mechanics, SK Square also gain
Samsung Electronics and SK Hynix led gains among South Korea’s large-cap semiconductor stocks early on Aug. 14, as easing US inflation pressures revived hopes for rate cuts and upbeat news from major chip companies including SanDisk improved investor sentiment.
As of 9:15 a.m., Samsung Electronics was up 1.12% from the previous session at 272,750 won, while SK Hynix had climbed 5.71% to 1,684,000 won. Samsung Electro-Mechanics rose 3.86% to 1,539,000 won, and SK Square gained 3.76% to 114,400 won.
The advance in semiconductor-related shares came after Wall Street rose overnight on signs that inflation pressures are easing. The Dow Jones Industrial Average gained 0.13%, the S&P 500 added 0.65% and the Nasdaq rose 0.81%.
After producer price data reinforced the cooling inflation signal seen a day earlier in the consumer price index, expectations grew that the Federal Reserve will hold its benchmark interest rate steady next month.
As uncertainty receded, semiconductor and big tech stocks outperformed. SanDisk surged 13.7% after saying long-term supply contracts are increasing amid strong demand for AI infrastructure, helping drive gains in chip shares. Micron Technology rose 4.2%, while SK Hynix’s American depositary receipts climbed 7.29%.
Other major technology stocks also traded mostly higher. Tesla rose 3.80%, Meta Platforms gained 2.78%, Apple added 1.00%, Microsoft advanced 0.90%, Alphabet climbed 0.82% and Nvidia rose 0.52%.
Han Ji-young, an analyst at Kiwoom Securities, said South Korea’s stock market is set to remain firm despite profit-taking after a recent rally and cautious positioning ahead of the holiday, supported by relief over the US July producer price index and optimism stemming from SanDisk.
Kang Kyung-ju, Hankyung.com reporter qurasoha@hankyung.com
Korea Economic Daily
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