Newsletter N°86 - February 2026 

Stock exchanges in South Korea and Japan have entered 2026 in a state of near euphoria, with semiconductors and their central role in artificial intelligence acting as a powerful catalyst.In Seoul, the KOSPI index surged from 2,400 in early 2025 to over 6,300 by the end of February 2026, making it by far the best-performing index among G20 economies over the period.

 

At the forefront of this rally stand SK Hynix and Samsung Electronics, both benefiting from their strategic positions in the global semiconductor value chain.SK Hynix has consolidated its leadership in High Bandwidth Memory (HBM) chipsets, a critical component for AI-driven data centers. As demand for AI infrastructure accelerates, memory performance has become a decisive competitive advantage.

 

For Samsung Electronics, a major psychological threshold has been crossed. After trading in the KRW 50,000–70,000 range at the end of 2024, the stock officially broke through the symbolic KRW 200,000 mark in late February 2026, a move widely interpreted as confirmation of investor confidence in its advanced node and foundry strategy.In Japan, market momentum has been reinforced by political developments.

 

Three months after taking office, Prime Minister Sanae Takaichi capitalized on strong personal popularity to secure 316 out of 465 seats in the Lower House, achieving a two-thirds supermajority and strengthening her capacity to implement an ambitious economic agenda with limited opposition.Her victory has reinforced the so-called “Takaichi trade,” a market dynamic in place since autumn, based on expectations of expansionary fiscal policy and strategic industrial support.

 

Equity markets reacted positively: both the Nikkei 225 and the TOPIX reached new all-time highs, driven notably by defense, energy, and semiconductor stocks.Further underscoring the strategic importance of semiconductors, Rapidus, the Japanese initiative targeting 2nm chip production by 2027, continues to attract substantial public and private backing.

 

At the end of February, the Japanese government announced an additional JPY 100 billion in funding, while 32 private companies collectively committed an additional JPY 168 billion package. When production begins next year, total invested capital is expected to approach JPY 4 trillion (over EUR 20 billion), reflecting Japan’s determination to re-establish itself as a leading player in advanced semiconductor manufacturing.