Kospi Surges 3.6 Percent as Asia Stocks Rebound on Super Micro and SpaceX Results

Asian stocks rose on Wednesday, October 21, 2026, as strong results from US technology companies steadied a market that had sold off hard for days. South Korea's Kospi rose 3.65 percent in early trade, Japan's Nikkei gained 1.8 percent, Hong Kong's Hang Seng added 1.1 percent and China's Shanghai Composite edged 0.1 percent higher, according to Dow Jones reporting.

Chips lead the way in Seoul

The Kospi opened 2.05 percent higher at 5,666.34 and was up 2.46 percent at 5,689.46 by 10 a.m. Korea time, recovering more than half of Tuesday's losses, Seoul Economic Daily reported. The index had fallen 3.73 percent on Tuesday to close at 5,552.74, as foreign and institutional investors sold chip stocks on doubts about whether AI spending will pay off. Samsung Electronics rose 5.08 percent and SK Hynix gained 6.13 percent in the rebound.

Why sentiment turned

The trigger came from the United States overnight. AI server maker Super Micro Computer said revenue for its July to September quarter was likely to land between 18.5 billion and 19.5 billion dollars, far above its earlier forecast of 14.5 billion to 15.5 billion, and credited increased demand for AI platforms. Its shares rose more than 13 percent in after-hours trading. SpaceX added to the mood, posting its first profit as third quarter revenue jumped 161 percent, with its shares up about 7 percent in extended trading.

Caution under the surface

Analysts said the relief was real but thin. "Risk sentiment in markets stabilized overnight, although under the hood there remains concerns around the sustainability of the AI trade," MUFG analyst Michael Wan said in a note quoted by Dow Jones. A draft prospectus viewed by The Wall Street Journal showed Anthropic lost more than 80 billion dollars in the first half of 2026. In Seoul, AI cloud company Elice fell about 32 percent on its trading debut on Tuesday. The Kospi is still about 19 percent below its October 2 close of 7,003.74, after a selloff that included a 7.57 percent drop on October 15.

India opens its biggest IPO, and oil stays a risk

In Mumbai, the Sensex rose more than 500 points in early trade and the Nifty moved back above 23,000, while Reliance Industries shares jumped about 2.5 percent as the Jio Platforms IPO opened for public bids, The Hindu BusinessLine and Livemint reported. The sale seeks up to 30,213 crore rupees, about 3.2 billion dollars, at 1,065 to 1,119 rupees per share, and closes on October 23. Reuters reported it is set to be India's largest IPO on record. Oil rose in early Asian trade, with Brent up 0.7 percent at 109.51 dollars a barrel, after Iran's Revolutionary Guard said it struck two oil tankers crossing the Strait of Hormuz on Tuesday, Iranian state media reported.

What investors watch next

Meta Platforms reports third quarter results after the US market close on Wednesday, the next big test of whether AI spending is earning its keep. SK Hynix holds its earnings call on October 28 and Samsung Electronics follows on October 29. One strong morning does not end the selloff, but for the first time in days, buyers in Asia were setting the tone.