Amundi, Europe’s largest asset manager, said that the rally in Asian equities driven by the AI boom will still have further room to run, unless a shift in US interest-rate expectations rattles the hyper-scalers underpinning the investment cycle. Shares of South Korean and Taiwanese technology companies such as Samsung Electronics and SK Hynix have repeatedly hit record highs, Amundi noted. However, it did not yet see signs of a bubble, as earnings expectations for these companies are very high, suggesting that current valuations may remain at reasonable levels. Related NewsG Sachs Expects BABA-W (09988.HK) 2H Profit Improvement, Maintains Buy, TP HKD180These valuations are unlikely to hinder the upward momentum of Asian semiconductor, hardware, and supply chain companies. AI infrastructure spending is projected to reach USD5 trillion by 2030, and hardware suppliers supporting these networks still have substantial upside.South Korea’s KOSPI has proliferated nearly 100% YTD, while gains in stocks such as SK Hynix and Samsung Electronics have been even more striking. Amundi believed the investment outlook remains highly dependent on interest rate changes by the Federal Reserve.
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