Morgan Stanley, JP Morgan Issue KOSPI Buy Calls After Stocks Fall to 6000-Level

Morgan Stanley, JP Morgan, and UBS issued buy recommendations for Korean stocks after the KOSPI index fell to the 6000-level. The calls followed server DRAM spot prices surging up to 146% since mid-July and Korean DRAM export unit prices jumping 523% year-over-year. The bullish outlook gained support after Super Micro disclosed its AI server order backlog exceeded $60 billion, easing concerns about reduced capital spending by big tech companies, while S&P Global upgraded Samsung Electronics' credit outlook to 'positive' and the stock closed at 260,500 won, up 0.58%.

Server DRAM Prices Surge 146% Since Mid-July

Server DRAM spot prices increased up to 146% since mid-July, according to the source article. Korean DRAM export unit prices rose 523% year-over-year. Super Micro stated its AI server order backlog exceeded $60 billion (approximately 89 trillion won). Samsung Electronics (005930) closed at 260,500 won, up 0.58%. S&P Global upgraded Samsung Electronics' credit outlook to 'positive'.

NVIDIA Announces AI Server Rack Supply to OpenAI

NVIDIA announced plans to supply its next-generation AI server rack 'Vera Rubin NVL72' to OpenAI on the 21st (local time). The move came after AMD started supplying its 'Helios' AI rack to Microsoft. Industry observers noted that as both companies strengthen rack-unit sales, purchasing firms face reduced flexibility in selecting individual components. TSMC plans to raise foundry prices by up to 10% next year.

Yen Hits 39-Year Low as BOJ Discusses Rate Hike

The yen weakened to the 163-per-dollar range, falling to its lowest level since December 1986 — a 39-year-and-7-month low. Bloomberg reported that the Bank of Japan is discussing a faster-than-expected rate hike, citing sources. The yen weakness intensified as the Takaichi Sanae cabinet reaffirmed its expansionary fiscal stance and dollar buying increased amid Middle East tensions. Japanese Finance Minister Katayama Satsuki stated, "We will respond firmly whenever necessary," but the yen continued its weakness.

FAQ

What did Morgan Stanley and JP Morgan say about Korean stocks after KOSPI fell to 6000-level?

Morgan Stanley, JP Morgan, and UBS issued buy recommendations, describing the KOSPI's decline to the 6000-level as a bottom-buying opportunity. The calls were based on server DRAM spot prices surging up to 146% since mid-July and Korean DRAM export unit prices jumping 523% year-over-year.

Why did NVIDIA announce AI server rack supply to OpenAI?

NVIDIA announced plans to supply its 'Vera Rubin NVL72' AI server rack to OpenAI on the 21st (local time). The announcement followed AMD's start of 'Helios' AI rack supply to Microsoft, and industry observers interpreted it as a competitive response.