Asian Tech Stocks Surge on Iran-US Peace Deal Hopes
L'essentiel
- Asian tech stocks rallied Monday, led by SoftBank, Tokyo Electron, and Samsung Electronics, on news of a potential peace deal between Iran and the U.S.
- The agreement, brokered by Pakistan, aims to end the Middle East conflict and reopen the Strait of Hormuz.
Résumé généré par IA
Pourquoi c'est important
Asian tech stocks surged on news that Iran and the U.S. have reached a deal to end the Middle East conflict. Pakistan's Prime Minister stated both sides agreed to a deal with permanent termination of military operations.
Asian tech stocks surged Monday, as investors cheer news that Iran and the U.S. have reached a deal to end the Middle East conflict.
Japanese tech investor SoftBank was the best performer among major tech stocks in Asia, rising over 12%. Tokyo Electron and Advantest added 9.19% and 7.69% respectively.
Memory chip behemoths and heavyweights on South Korea's Kospi Index, Samsung Electronics and SK Hynix gained 4.65% and 6.42%, respectively.
Taiwan Semiconductor Manufacturing Co, or TSMC rose 2.16%, while Hon Hai Precision, also known as Foxconn, added 2.5%.
Softbank, Samsung Electronics and SK Hynix have seen huge overall gains in recent weeks. Last month, Samsung Electronics and SK Hynix each crossed $1 trillion market valuation, while SoftBank recently became the most valuable company in Japan.
The moves follow a risk-on sentiment amid expectations that the Middle East conflict could end soon, as the U.S. and Iran have reached a peace deal.
According to Pakistan's Prime Minister Shehbaz Sharif on Sunday, both Iran and the U.S. have agreed to a deal, with both sides declaring immediate and permanent termination of military operations on all fronts. The official signing ceremony will be on Friday, June 19, in Switzerland, he said. Pakistan has served as a mediator between the two countries.
"The Deal with the Islamic Republic of Iran is now complete," to reopen the Strait of Hormuz without a toll system and the U.S. will also end the naval blockade of Iran, U.S. President Donald Trump said In a Truth Social post. "Ships of the World, start your engines," Trump said. Let the oil flow!"
The broader tech space has done fairly well, according to Ecaterina Bigos, BNP Paribas Asset Management's chief investment officer of core investments Asia ex Japan.
"Because again, not to forget that investors are trying to rebalance some parts of the portfolios, but they still want to stay in that race of AI," she told CNBC's "Squawk Box Asia" on Monday.
Broader Asia markets were also higher Monday, amid signs of the end of the Middle East conflict.
À surveiller
Perspective IA — des possibilités, pas des certitudes
Signing ceremony for the Iran-U.S. peace deal will occur on Friday, June 19, in Switzerland.
Probable · En quelques jours
Strait of Hormuz will reopen without a toll system.
Probable · En quelques semaines
Questions ouvertes
- Will the signing ceremony proceed as planned?
- What are the specific terms of the deal?
- How will global oil markets react long-term?
