Asia’s tech giants give AI bull run a new centre of gravity

Asia’s AI-driven rally has shifted its centre of gravity to chip-producing markets in Taiwan and South Korea, powering Seoul’s market to be the world’s hottest and lifting key firms (Samsung, SK Hynix, TSMC). Strong record profits and multi-year supply deals have tightened capacity and supported elevated valuations, drawing heavy retail and institutional buying — including record leveraged KOSPI purchases and large inflows into a Hong Kong-listed SK Hynix leveraged ETF. The cycle is boosting regional GDP and corporate cash flows, while analysts warn of distortion risks if big AI customers slow fundraising or demand. Near-term momentum and repositioning have been key drivers, but the run carries medium-term risks around capacity, spending and stretched sentiment.