With U.S. President Trump clearly abandoning the imposition of tariffs on Europe and releasing statements regarding a &#34;framework agreement&#34; on Greenland, market risk appetite has transmitted from the overnight U.S. stock market to the Asia-Pacific region, with stock markets generally rising while safe-haven assets like precious metals fell in tandem.
During the Asia-Pacific session on Thursday, the South Korean Composite Index surged by 2%, and the Nikkei 225 Index rose by 1.87%, with chip stocks being the core driving force.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/e63c6ee1-d73d-4d1b-af67-9a83c927d19f.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/e63c6ee1-d73d-4d1b-af67-9a83c927d19f.png"/>
According to Wallstreetcn, Jensen Huang, CEO of NVIDIA, stated that global AI infrastructure construction will require &#34;trillions of dollars in investment&#34; in the future, leading to a significant increase in buying in the semiconductor sector. NVIDIA supplier Disco in Japan once surged by 17%, while in South Korea, industry leaders like Samsung Electronics and SK Hynix also recorded strong gains of over 3%.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/7e93e118-180b-4d44-934a-692768d47ca4.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/7e93e118-180b-4d44-934a-692768d47ca4.png"/>
The strong momentum of chip stocks pushed the South Korean Composite Index to the 5000-point mark, reaching a historical high, with a cumulative increase of nearly 20% this month.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/7dd850ba-354d-4c85-9c81-262f6729797a.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/7dd850ba-354d-4c85-9c81-262f6729797a.png"/> (The South Korean Composite Index has increased by 18.8% this month)
In addition to the upward cycle of semiconductors, domestic corporate governance reforms aimed at addressing the so-called &#34;Korea discount&#34; are showing results, jointly boosting investor confidence. Kiwoom Securities analyst Han Ji-young pointed out in a recent report that, as valuations remain at reasonable levels, the South Korean Composite Index still has room for further increases.
Ray Wang, an analyst at chip consulting firm SemiAnalysis, stated that SK Hynix is expected to announce its fourth-quarter results later this month, which &#34;are very likely to exceed expectations.&#34;
Safe-haven assets are clearly under pressure. With the easing of tariffs and geopolitical tensions, spot gold fell nearly 1% in early Asia-Pacific trading, dropping below the $4,800 mark. Spot silver also declined by 0.8%.
<img src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/ec545ea5-bc5e-4db0-b787-65a43bb9f549.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" alt="" original-src="https://imageproxy.pbkrs.com/https://wpimg-wscn.awtmt.com/ec545ea5-bc5e-4db0-b787-65a43bb9f549.png"/>
According to Wallstreetcn, the U.S. Congress has postponed the &#34;cryptocurrency bill&#34; for several weeks, leading to a slight decline in cryptocurrencies. Bitcoin briefly approached $89,000 during the day, before fluctuating around the $90,000 mark
<h2>The Reform Directly Targets the &#34;Korean Discount&#34; Malady</h2>
When Lee Jae-myung took office as president in June last year, he promised to address poor corporate governance and the &#34;Korean discount&#34; issue, which has long suppressed the valuation levels of Korean stocks relative to other markets.
The Commercial Law revised in July last year established the legal obligation for directors to consider the interests of all shareholders rather than just the interests of the company. Critics pointed out that the so-called &#34;company interests&#34; in the past often meant the interests of family members in the chaebols that dominate the economy.
The South Korean government has also encouraged increased dividend payments through tax incentives, as the dividend levels of Korean companies typically lag behind those of other markets.
The Lee Jae-myung administration is expected to announce measures to curb the entrenched voting rights of controlling families, including the cancellation of treasury shares hoarded by companies, to empower minority shareholders and increase earnings per share.

The market's risk appetite sentiment has transmitted from the overnight U.S. stock market to the Asia-Pacific region, with the South Korean Composite Index soaring by 2% and the Nikkei 225 Index rising by 1.87%, with chip stocks being the core driving force. Meanwhile, safe-haven assets such as precious metals have retreated, with spot gold falling nearly 1% in the Asia-Pacific early session, dropping below the $4,800 mark. Spot silver has also declined by 0.8%

- Following President Trump’s decision to avoid additional tariffs on Europe, the Asian markets experienced a risk-on sentiment, with the South Korean composite index surging by 2% and the Nikkei 225 rising by 1.87%, led by semiconductor stocks.  
- Strong demand in the semiconductor sector was driven by Nvidia’s CEO highlighting the need for trillions in AI infrastructure investment, resulting in a notable rise in stocks like Japan's Disco and South Korean giants Samsung Electronics and SK Hynix.  
- As tensions eased, safe-haven assets like gold and silver faced declines, with gold falling nearly 1% to below $4,800 amid a subdued cryptocurrency market following the postponement of a proposed cryptocurrency bill by the U.S. Congress.

Wallstreetcn

ChinaAMC SSE STAR Semiconductor Material & Equipment Thematic ETF

Direxion Semicon Bull 3X

VanEck Semiconductor ETF

MS&AD Insurance Group Holdings, Inc.

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GTJA Allianz CSI All Share Semiconductors & Semiconductor Equipment ETF

Harvest CSI All Share Integrated Circuit ETF

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China Southern CSI Semiconductor Industry Custom ETF

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Trump TACO boosts the Asia-Pacific stock market, chip stocks surge, South Korean stocks break through the 5000 mark! Gold falls below 4800