Technology stocks across Asia climbed sharply on Wednesday as chipmaker SK hynix reported exceptional quarterly earnings, strengthening investor confidence in artificial intelligence (AI) and the semiconductor sector ahead of earnings announcements from major US technology companies Microsoft and Alphabet. Oil prices climbed as investors closely monitored the outcome of Israel’s elections.
Kim Sunwoo, a senior analyst at Meritz Securities, noted that DRAM (Dynamic Random-Access Memory) chip manufacturers, which supply memory components for computers, servers and mobile devices, were meeting only about 75% to 80% of overall market demand, highlighting a significant gap between supply and consumption. Investors are also awaiting the Federal Reserve’s policy announcement on Wednesday.
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The imbalance was expected to worsen as DRAM chip shortages intensified in the second half of 2026, putting additional pressure on manufacturers to meet the growing memory needs of computers, servers and mobile devices. Although the central bank is expected to keep interest rates unchanged following last month’s increase, markets will closely scrutinize its post-meeting statement and comments from Chair Kevin Warsh for signals about its future policy direction. Investors are anticipating another rate hike in December.
