Asian Chip Stocks Surge 1.8% on Nvidia Outlook

Asian chip stocks rise as Nvidia outlook reinforces AI demand

On 27 August 2026, Reuters reported that Asian technology equities rallied after Nvidia released its second‑quarter results and a bullish outlook that reinforced expectations of continued artificial‑intelligence (AI) demand.

Nvidia posted Q2 revenue of $96.2 billion, a 106 % year‑over‑year increase, surpassing consensus forecasts. Data‑center revenue climbed to $89 billion, up 117 %. The company projected third‑quarter revenue of $108 billion ±2 %, above analysts’ estimates of roughly $104 billion. Nvidia also indicated fiscal‑2028 revenue growth of about 70 % despite ongoing supply constraints. Gross‑margin guidance was revised to 71‑72 % for the fourth quarter, with an expected recovery to 72‑73 % in fiscal 2028 as higher‑priced memory lifts margins. Nvidia’s shares initially slipped but rallied roughly 4 % in post‑market trading as investors focused on the longer‑term outlook.

The market response was pronounced. South Korea’s KOSPI index rose 1.8 %, led by SK Hynix gaining 4.4 % and Samsung Electronics up 2.8 %. Japan’s Nikkei 225 slipped 0.2 %, while the broader TOPIX added 0.5 %. In the semiconductor supply chain, Kioxia climbed 5.9 %, TDK rose 1.7 %, Murata advanced 1.9 %, and LARGAN Precision surged 10 %. Taiwan’s TSMC added 0.6 %.

Chinese and Hong Kong markets also posted modest gains: the CSI 300 index rose 0.9 %, Shanghai Composite 0.6 %, and Hang Seng 0.6 %. Individual tech names largely moved higher, with Luxshare Precision up 4.1 %, SMIC up 2.7 %, Xiaomi up 2.5 %, Alibaba up 2.1 %, and Cambricon up 0.9 %; NetEase was the notable laggard, down 1.8 %.

The rally follows a recent sell‑off in technology stocks triggered by rising Treasury yields, which had heightened discount rates for growth‑oriented equities and sparked concerns over the profitability of massive AI‑infrastructure spending. Reuters estimates that global AI infrastructure investment will exceed $730 billion this year, underscoring the scale of the build‑out and supporting the view that demand remains robust.