Asian Markets Rise on Chip Rally and AI Demand

Asian stock markets closed higher this Wednesday driven by the semiconductor sector. This movement occurred despite a retreat in New York indices following US inflation data that exceeded market expectations.

Taiwan's Taiex index rose 3.62%. Taiwan Semiconductor Manufacturing Co. led the sector after reporting October revenue nearly 60% higher than a year ago. The company also confirmed an investment of up to $1 billion in firms such as OpenAI and Anthropic.

In South Korea, the Kospi index climbed 2.6% on strong performance from chipmakers. Samsung Electronics rose 3.6% while SK Hynix gained 5.4%. In Japan, the Nikkei advanced 1.31% despite a $7 billion quarterly loss reported by SoftBank Group.

In China, the Shanghai Composite and Shenzhen Composite indices closed in positive territory. The market is monitoring the start of the Singles' Day shopping festival as a gauge for domestic consumption. In Hong Kong, the Hang Seng index was the exception and fell 0.98%.

Persistent US inflation increases pressure on the Federal Reserve to keep interest rates high as a way to control rising costs.