AI surge triples Kospi, lifts Taiwan to world's 6th-largest market
Big changes in the global stock market: South Korea and Taiwan are now outpacing many Western markets, all thanks to the AI surge.
In just 18 months, South Korea's Kospi index tripled, hitting record highs in 2026.
Taiwan's stock market also climbed fast, becoming the world's sixth-largest after a huge jump in demand for AI stocks like Taiwan Semiconductor Manufacturing Co. (TSMC).
TSMC over 40% Taiwan market value
TSMC alone now makes up over 40% of Taiwan's market value. In South Korea, Samsung Electronics and SK Hynix together hold more than 42% of the Kospi index.
While some worry this feels a bit like the dot-com bubble days, JPMorgan analysts say it's real earnings driving growth this time.
Still, investor Michael Burry has flagged some risks if things get too speculative.
Plus, with foreign investors pulling money from India due to a weak rupee and deceleration in earnings momentum there, it's clear that AI-led Asian markets are getting all the attention right now.