The intertwining of U.S. and Korean tech stocks is becoming increasingly evident as artificial intelligence spending ties the fortunes of American tech giants and Korean memory chip manufacturers together.
The 60-day correlation between the Kospi and Nasdaq 100 has recently climbed to about 0.50, its highest level since 2021.
This growing relationship reflects the increasing dominance of Samsung Electronics and SK Hynix, which together account for more than half of the Kospi index.
Both companies sit at the center of the AI hardware supply chain, providing the memory chips needed for data centers operated by U.S. technology giants.
“The correlation has increased because the KOSPI has become a semiconductor index,” said Rolf Bulk, an analyst at Futurum Group.
Samsung and SK Hynix increasingly depend on the same hyperscaler spending that drives earnings at U.S. semiconductor and technology companies.
This gives investors in Asia an early read on the strength of the global AI trade before Wall Street opens.
“Samsung and SK Hynix provide the first liquid market reaction to overnight developments affecting global AI demand,” said Jung In Yun, founder of Fibonacci Asset Management.
Recent trading illustrates this dynamic. On July 13, the Kospi fell more than 8%, dragged down by SK Hynix's 15% plunge.
Peter Kim, head of global investment strategy at KB Financial Group, noted that the Korean memory chip rally began later than the Nasdaq's advance because U.S. investors initially focused more heavily on hyperscalers.
However, analysts caution that Korean and U.S. technology shares are moving in tandem rather than one consistently leading the other.
“The fortunes of U.S. tech stocks and Korean tech stocks are increasingly being driven by a common underlying factor, which is sentiment toward the AI hardware trade,” said Phillip Wool, head of research at Rayliant Global Advisors.
