Kospi Rises 1.53% After Nvidia Forecast Boosts Samsung Electronics and SK Hynix Despite Rate Hike

Global Market: Kospi gains over 1% as Nvidia outlook lifts chipmakers

South Korean shares rose, led by chipmakers after Nvidia forecast strong AI-driven revenue growth. The KOSPI gained 1.22%, while Samsung Electronics and SK Hynix advanced. The Bank of Korea raised rates by 25 basis points to 3% and upgraded its 2026 growth forecast to 3.3%, keeping investors focused on future monetary policy. South Korean shares rose on Thursday, led by chipmakers after strong demand forecasts from US technology giant Nvidia, while investors awaited the Bank of Korea governor's news conference following the central bank's interest-rate decision, according to a report by Reuters. The benchmark Kospi was up 83 points, or 1.22%, at 6,894.25 as of 0104 GMT. The index had gained as much as 2.8% earlier in the session, reaching its highest intraday level since August 18. US MarketsPowered By As on 27 Aug 2026, 01:30 AM IST S&P 500 Top Gainers Arista Networks202.25(5.92%) C.H. Robinson Worldwide151.73(5.62%) Williams Companies74.41(4.68%) F5399.59(4.40%) Gainers" S&P 500 Top Losers Coterra Energy32.56(-8.62%) Zoom Communications93.83(-7.03%) Moderna149.66(-5.77%) GoDaddy95.54(-4.26%) Losers" Nvidia forecast a 70% increase in revenue for its next fiscal year on Wednesday, highlighting continued strong demand for artificial intelligence computing. The company also warned that shortages of memory components could constrain the pace of expansion. The upbeat outlook provided a boost to South Korean chip stocks. Samsung Electronics rose 1.43%, while SK Hynix gained 2.37%. Battery maker LG Energy Solution advanced 3.42%. Also Read | Global Market Today: Nasdaq futures, Asian stocks rise on Nvidia outlook The Bank of Korea raised its benchmark interest rate by 25 basis points to 3.00%, as widely expected, delivering its second consecutive rate increase as inflation remains above target and financial stability risks persist. The central bank also raised its growth forecast for this year to 3.3%, from 2.6% projected in July. Governor Shin Hyun-song was scheduled to hold a news conference at 0210 GMT, with investors expected to closely assess the outlook for further monetary tightening. Among other major stocks, POSCO Holdings gained 3.20%, while Samsung BioLogics fell 0.50%. Hyundai Motor and Kia declined 1.96% and 1.52%, respectively. Of the 905 stocks traded, 352 advanced and 501 declined. Foreign investors were net buyers of 73.3 billion won ($53.21 million) worth of shares. The South Korean won strengthened 0.63% to 1,377.6 per dollar on the onshore settlement platform, compared with its previous close of 1,386.3. In fixed-income markets, September futures on three-year Treasury bonds fell 0.11 point to 103.21. The yield on the most liquid three-year Korean Treasury bond rose 3.7 basis points to 3.854%, while the benchmark 10-year yield increased 3.9 basis points to 4.311%. Nvidia's strong AI demand outlook and the Bank of Korea's higher growth forecast supported sentiment toward South Korean equities, although the central bank's policy guidance remained a key focus for investors.

Nvidia-inspired KOSPI rally subdued after BOK's 2nd straight rate hike - The Korea Times

Foreign investors bought a net 152.4 billion won and institutional investors bought 177.6 billion won, while retail investors sold a net 1.91 trillion won. Seoul stocks fell just short of reclaiming the 7,000 mark on Thursday, as Nvidia's stronger-than-expected earnings fueled an early rally before the Bank of Korea's (BOK) rate hike tempered gains. The benchmark KOSPI opened at 6,996.12, up 2.76 percent from the previous session, after Nvidia reported fiscal second-quarter revenue of $96.2 billion, up 106 percent from a year earlier and above Wall Street estimates. The results reinforced expectations that artificial intelligence (AI) infrastructure investment and semiconductor demand remain intact, lifting chip stocks across the Korean market. However, gains narrowed sharply around 10 a.m. following the central bank's decision to raise its benchmark interest rate from 2.75 percent to 3 percent. KOSPI later recovered some ground, but closed at 6,912.37, up 1.53 percent. Foreign and institutional investors were net buyers, purchasing 152.4 billion won ($111 million) and 177.6 billion won, respectively. Retail investors, by contrast, sold a net 1.91 trillion won. The two semiconductor heavyweights also finished higher, with Samsung Electronics rising 1.72 percent to 266,000 won and SK hynix gaining 2.49 percent to 1.73 million won. The tug-of-war between AI-driven earnings growth and the trajectory of base interest rates is expected to shape KOSPI's direction in September. "Nvidia's strong earnings should ease some of the concerns surrounding the AI and semiconductor industries, but the prospect of a peak in the economic cycle will likely keep investors wary of heightened market volatility," said Byun Jun-ho, an analyst at IBK Securities. "The Korean market is likely to remain range-bound in September amid signs of an economic slowdown, the U.S.-China summit and the U.S. midterm elections, among other factors." Meanwhile, the secondary bourse Kosdaq opened 0.19 percent higher at 828.42 and maintained its gains, ultimately closing at 837.65, up 1.3 percent. In the Seoul foreign exchange market, the Korean won continued to strengthen against the U.S. dollar, closing at 1,380.9 per dollar, up 3.9 won from the previous session.