Technology firms surged in Asia on Wednesday after blockbuster earnings from chip giant SK hynix helped boost optimism in the AI trade ahead of results from Wall Street titans Microsoft and Alphabet.

Oil prices rose as investors kept tabs on Israel's election results, which could determine the future of Israeli Prime Minister Benjamin Netanyahu's war against Iran.

In Hong Kong, the stock market ended higher, with the benchmark Hang Seng Index up 0.23 percent to close at 23,094 points.

The Hang Seng China Enterprises Index gained 0.32 percent to 7,791 points, and the Hang Seng Tech Index jumped 1.40 percent to 3,853 points.

On the mainland, the benchmark Shanghai Composite Index finished up 0.91 percent to 3,681 points while the Shenzhen Component Index closed 2.02 percent higher.

Turnover of stocks covered by these two indices totalled about 1.63 trillion yuan, up from 1.46 trillion yuan on the previous trading day.

Shares in robotics, semiconductor chips and AI-generated animated dramas were among the top gainers, while stocks in the pork and insurance sectors fell against the broader upward trend.

The ChiNext Index, tracking China's Nasdaq-style board of growth enterprises, gained 3.4 percent.

The STAR Composite Index, which reflects the performance of stocks on China's sci-tech innovation board, closed 3.2 percent higher.

Elsewhere in Asia, Tokyo stocks closed mixed.

Artificial intelligence-related shares extended gains as worries about the profitability and sustainability of massive investments in the sector eased, but rising crude oil futures prompted selling in the broader market.

The benchmark Nikkei stock index, climbed 685 points, or 1.08 percent, to finish at 63,954.

The broader Topix index, meanwhile, slipped 5.66 points, or 0.14 percent.

Heavyweight AI- and semiconductor-related shares tracked their US counterparts higher, with upbeat details in the initial public offering prospectus of AI giant Anthropic drawing buyers to the Tokyo market for a second straight session.

Meanwhile, SK hynix, which has been at the forefront of the chip boom, said on Wednesday that third-quarter operating profit soared 632 percent to US$62.8 billion thanks to explosive demand for its advanced semiconductors.

The firm said it had now posted record revenue and operating profit for six straight quarters.

"While Wall Street argues over whether the AI arms race can keep financing itself, SK hynix has just reminded the market that somebody on the other side of all that capex is receiving the cheque," wrote Stephen Innes at SPI Asset Management.

Shares in SK hynix soared almost 11 percent and South Korean rival Samsung, which reports on Thursday, added nine percent.

That pushed Seoul's Kospi index up more than six percent at the close. (AFP/Xinhua)




Edited by Tony Sabine