Asian chip stocks surged on Friday following a landmark trade deal between the U.S. and Taiwan, propelling both the Taiwanese and South Korean markets to new heights. Under the agreement, Taiwanese semiconductor manufacturers have pledged to invest at least $250 billion in U.S. production capacity. In exchange, they will benefit from reduced “reciprocal” tariffs, a move that has invigorated investors and analysts alike.
The Taiwan Weighted Index soared by 1.94%, closing at a historic high of 31,408.7, making it the top-performing stock market in Asia for the day. Similarly, South Korea’s Kospi index rose by 0.9%, also reaching a record at 4,840.74, marking its 11th consecutive day of gains. The smaller Kosdaq index followed suit, rising by 0.36% to reach 954.59. Notably, shares of Taiwan Semiconductor Manufacturing Company (TSMC) jumped by 2.96%, after the company announced another record-breaking quarter and indicated plans to increase capital expenditures in 2026 to between $52 billion and $56 billion.
Meanwhile, Japan’s Nikkei 225 experienced a drop of 0.32%, closing at 53,936.17, extending its losses from the previous session. The Topix index also fell by 0.28% to 3,658.68. In Japan, SoftBank Group, which has invested heavily in various chip-related ventures, including chip designer Arm, reversed its earlier gains to close down 1.01%. However, major chip companies in South Korea, such as Samsung Electronics and SK Hynix, saw their stocks rise, gaining 3.47% and 0.93%, respectively.
Australian shares were on an upswing as well, with the S&P/ASX 200 climbing 0.48% to 8,903.9, marking its fifth successive winning session. Conversely, Hong Kong’s Hang Seng index fell by 0.58%, while the CSI 300 from mainland China declined by 0.19%. In notable market activity, state-linked semiconductor foundry SMIC saw an increase of 2.35%.
In the U.S., the stock market closed higher the previous day, with the Dow Jones Industrial Average gaining 0.60%. The S&P 500 rose by 0.26%, and the Nasdaq Composite saw a modest increase of 0.25%. Bank stocks also had a strong showing, buoyed by robust quarterly earnings reports. Goldman Sachs shares surged over 4% following a fourth-quarter profit that exceeded Wall Street expectations, while Morgan Stanley jumped nearly 6% as its wealth management division helped drive both top- and bottom-line growth.
The positive momentum in U.S. equities also reflected stronger-than-anticipated economic indicators. For the week ending January 10, new jobless claims fell to 198,000, significantly below the 215,000 forecasted by economists surveyed by Dow Jones. This data, coupled with the uplifting trade deal, has contributed to the overall optimism in the markets.
As developments in the semiconductor sector continue to unfold, investors remain vigilant, aware that fluctuations could arise based on evolving economic conditions and geopolitical dynamics.
Original Source: https://www.cnbc.com/2026/01/16/asia-markets-live-friday-nikkei-225-hang-seng-index-kospi-taiwan-trade-deal-chips-banks.html
Category :
Tags:
Publish Date: 2026-01-16 12:39:00
