SK Hynix Sells Out Memory Till 2029 as Kospi Crosses 6,000

SK Hynix posts a record KRW 104.6T quarter and sells out memory till 2029, Kospi jumps 6.8% past 6,000, and the Fed, Alphabet and Microsoft all land tonight.

TLDR

• SK Hynix posted its first quarter above KRW 100 trillion in revenue, said its DRAM and HBM chips are sold out through 2029, and jumped 11.4% in Seoul.
• Kospi rose 6.8% to close at 6,023.73, its first close above 6,000, with a buy-side sidecar triggered for the second day running.
• Wall Street closed higher on Tuesday. The Nasdaq added 1.18% as chip stocks rallied on Anthropic’s IPO filing and a $63 billion financing deal for its Broadcom chips.
• The Fed decides at 11:30 PM IST tonight, with a hold priced near 91% and a December hike near 76%. Alphabet and Microsoft report around 1:30 AM IST.

Market Regime

Money is moving toward anything tied to AI memory and compute. SK Hynix said demand for its chips is already booked for three more years, and Korean stocks added about $170 billion in value in a single session. In the US, the Philadelphia Semiconductor Index rose 3.60% on Tuesday while energy was the weakest sector.

What could break it is the Fed. Rates were raised last month for the first time in three years, and markets now price about a 76% chance of another hike in December. If Fed Chair Kevin Warsh sounds firm tonight, high-growth tech is where it would show first, just as Alphabet and Microsoft report.

Bullish Factors

• Memory demand locked in. SK Hynix says its DRAM and HBM output is sold out through 2029 under long-term supply deals with major customers.
• Record profit and a payout. Operating profit rose 632% to KRW 83.33 trillion ($62.8B), and SK Hynix plans to return KRW 100 trillion ($75B) to shareholders this year.
• Anthropic heads to market. Anthropic filed for its IPO on Monday, and banks plus Blackstone lined up $63 billion to finance its Broadcom chips. AMD rose 5.45% and Broadcom 4.00%.
• More buyers for Google chips. Bloomberg reports OpenAI plans to buy some AI computing chips from Google, though final terms are not yet known.
• Oil eased into the Fed. Brent fell 1.67% to $113.88 on Tuesday on reports of possible de-escalation in the Middle East.

Bearish Factors

• December hike risk. Futures price about a 76% chance of a December rate hike, and the 10-year Treasury yield sits at 4.99%.
• Event overload tonight. The Fed decision, Warsh’s press conference and two Big Tech reports all land within about two hours.
• Spending worries. Meta fell 1.64% after saying it may raise up to $95 billion through stock sales to fund AI buildout, and Alphabet goes in with a $195 to $205 billion capex guide.
• Boeing drag. Boeing fell 10.7% after a larger-than-expected quarterly loss and a slower 737 MAX ramp.
• Oil bounced back in Asia. Brent rose 1.5% to $111.10 during the Asian session, keeping inflation pressure in view ahead of Thursday’s PCE print.

Asian Markets This Morning

• Kospi: +6.8% to 6,023.73. SK Hynix +11.4%, Samsung Electronics +9.1% ahead of its results on Thursday.
• Nikkei 225: +1.1% to 63,954.19. Kioxia +9.6% before its Friday report. The Bank of Japan meets Thursday.
• Taiex: about +2% as chip names followed Korea higher.
• Hang Seng: +0.2% to 23,089.22 after erasing early losses. Shanghai Composite +0.5% to 3,666.50.
• ASX 200: +0.3% to 8,847.30. Sensex: -0.8%, the main laggard in the region.

What Moved Wall Street Today

• S&P 500: +0.60% to 7,722.60. Nasdaq: +1.18% to 26,477.81. Dow: +0.03% to 52,377.57. Russell 2000: +1.16% to 2,818.87.
• VIX fell 4.7% to 17.53 as traders settled in ahead of the Fed meeting.
• Chips led: Philadelphia Semiconductor Index +3.60%, AMD +5.45%, Broadcom +4.00%.
• Boeing -10.7%. Refiners fell with Valero about 7% lower as fuel futures dropped.
• Robinhood reported after the bell: revenue of $1.4B was in line, EPS of $0.51 missed the $0.56 estimate, and about 200,000 customers have opened AI Agent trading accounts.

Assets in Focus

SK Hynix (SKHY)

Q3 revenue rose 328% to KRW 104.62 trillion ($78.8B), ahead of the KRW 98.23 trillion estimate. Net profit rose 216% to KRW 39.78 trillion ($30B). Over KRW 60 trillion of the KRW 100 trillion return plan comes through buybacks and share cancellations. The sold-out-through-2029 comment is what traders will remember.

Alphabet (GOOGL)

Reports around 1:30 AM IST. Analysts expect EPS near $2.94 on revenue of about $127.5 billion, up roughly 25%. Google Cloud is the number to watch, with estimates near $29 billion. The OpenAI chip report adds a new angle going in.

Microsoft (MSFT)

Reports alongside Alphabet. Consensus sits at EPS of $4.71 on $90.58 billion in revenue. Microsoft guided Azure growth of 44% to 45% in constant currency, and quarterly capex could top $50 billion.

AMD (AMD)

Rose 5.45% on Tuesday as chip stocks rallied on the Anthropic financing news. It now heads into the Fed and Big Tech reports after a strong session.

Anthropic (Pre-IPO)

Anthropic filed for its IPO on Monday. A newly formed vehicle backed by Bank of America, Citi, Morgan Stanley and Blackstone will buy Broadcom chips and lease them to Anthropic, with deliveries from 2027. Anthropic is available as a pre-IPO perpetual on CoinDCX Global Futures.

DRAM Index

The semiconductor index on CoinDCX Global Futures tracks the memory trade. SK Hynix, Samsung and Kioxia all jumped in Asia today, and Samsung reports on Thursday.

Index Levels to Watch

• S&P 500: last at 7,722.60. 7,700 is the nearest round number below, and Monday’s close near 7,677 sits under that.
• Nasdaq: last at 26,477.81. Monday’s close near 26,169 marks where Tuesday’s chip rally began.
• Kospi: last at 6,023.73. 6,000 is the new line, and the prior close near 5,640 marks where today’s jump started.
• Nikkei 225: last at 63,954.19, just under the 64,000 round number.

Disclaimer

Crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss from such transactions. This article is for information only and does not constitute investment, financial or trading advice. Futures trading involves significant risk and may not be suitable for all investors. Levels mentioned are reference points for context only, not entry or exit signals. Please do your own research before making any investment decision.

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