SK Hynix, South Korea’s Kospi jump as Asian chip stocks gain, crude rises

Asian chip stocks continued to rally as investor interest in artificial intelligence remained strong. Meanwhile, tensions in the Middle East drove oil prices near $100 a barrel. South Korea's Kospi index gained 0.5% as the country's leading chipmaker, SK Hynix, also posted gains. The advance followed a 1.3% increase in the Philadelphia Semiconductor Index (SOX) in New York.

Other Asian markets followed the upward trend, with the MSCI Asia-Pacific Index of shares increasing 0.4% and S&P 500 futures remaining unchanged. Hang Seng futures rose slightly, while Japan's Topix and Australia's S&P/ASX 200 both climbed by 0.4% and 0.3%, respectively.

Brent crude oil prices surged 1.5% to $99.37 a barrel, following repeated strikes on Middle East energy infrastructure. These strikes, including US attacks near the key export hub of Kharg Island, have raised concerns about potential disruptions to oil supplies. The rising energy prices have increased the likelihood of a US Federal Reserve interest rate hike in September.

Traders are closely monitoring the situation, as the Iran conflict is now in its seventh month, and renewed attacks on energy infrastructure could keep oil prices elevated, complicating the outlook for inflation and interest rates. The upcoming US consumer price index report on Friday will be a key test for expectations of a Fed rate increase at the September 15-16 meeting. Experts believe the markets may focus heavily on inflation discussions due to the geopolitical tensions and rising oil prices.