AI demand fuels surge for Samsung Electronics and TSMC stocks
The AI wave has sent tech stocks in places like South Korea and Taiwan soaring: think Samsung Electronics and TSMC riding high thanks to massive demand for AI chips.
At one point, South Korea's KOSPI index nearly doubled, and TSMC became the biggest player on the MSCI Emerging Markets Index.
KOSPI drops 40% amid foreign outflows
But it hasn't all been smooth sailing. After the big climb, markets got bumpy: KOSPI dropped 40% in just six weeks as investors worried about high prices and stricter rules.
Foreign investors pulled out billions, but even with these wild swings, many still believe AI will keep driving growth in these markets in the long term.
Also worth noting: just nine tech giants now make up more than 40% of the whole index, a sign that everyone's betting big on AI powerhouses outside the US.