The Kobeissi Letter(@KobeissiLetter):Asian chip stocks are experiencing a historic run: The MSCI EM Semiconductors to Magnificent 7 ratio is up to a record ~205, more than doubling since the start of 2026. This comes as the Magnificent 7 has declined -7% year-to-date, while the MSCI EM Semiconductors index has rallied +91%. This has been primarily driven by South Korean chipmakers, SK Hynix and Samsung, which are up +348% and +199%, respectively, over this period. The outperformance accelerated this month, with the Magnificent 7 falling -14% so far in June. At the same time, SK Hynix and Samsung are up +25% and +13%, respectively. Asian chip stocks are leading the AI trade.

2026.06.27 00:14

Asian chip stocks are experiencing a historic run: The MSCI EM Semiconductors to Magnificent 7 ratio is up to a record ~205, more than doubling since the start of 2026. This comes as the Magnificent 7 has declined -7% year-to-date, while the MSCI EM Semiconductors index has rallied +91%. This has been primarily driven by South Korean chipmakers, SK Hynix and Samsung, which are up +348% and +199%, respectively, over this period. The outperformance accelerated this month, with the Magnificent 7 falling -14% so far in June. At the same time, SK Hynix and Samsung are up +25% and +13%, respectively. Asian chip stocks are leading the AI trade.