Chip stocks extended a global rally as investors renewed bets that the artificial intelligence trade has further room to run. Oil climbed on pessimism over US-Iran peace talks.
MSCI’s Asia Pacific equities gauge rose 1%, extending Tuesday’s biggest one-day gain in a month. South Korea’s Kospi, a bellwether for AI investments, jumped 4% as the unwinding of leveraged bets that drove the benchmark nearly 30% below its peak appeared to be nearing an end.
Chip bellwethers Samsung Electronics Co. and SK Hynix Inc. led gains. The rally in Asia followed a more than 5% jump in a US semiconductor gauge on Tuesday, rebounding from bear market territory last week, as investors awaited Alphabet Inc.’s guidance on AI spending.
Even so, caution prevailed, with Nasdaq 100 futures falling 0.4%, S&P 500 contracts edging lower and European shares set for a tepid open.
The rise in crude oil prices this week is reigniting inflation concerns, and pushed Treasury yields to their highest level in two months on Tuesday.
Brent climbed 1.4% to $92.25 a barrel after US President Donald Trump minimized the prospect of immediate talks with Iran.
