Memory stocks jump as CoreWeave results lift AI sentiment

Asian technology stocks experienced a boost on Wednesday due to CoreWeave's earnings beat, which reignited confidence in the demand for infrastructure services. Notably, semiconductor shares in South Korea, Japan, and Taiwan surged as a result. Meanwhile, Chinese and Hong Kong technology stocks lagged, as rising U.S. inflation data raised concerns about potential further interest-rate hikes.

CoreWeave's shares jumped nearly 13% overnight after the company exceeded revenue expectations in the third quarter and increased its revenue forecast for the year. The firm reported $3.66 billion in revenue, an 168% increase from the previous year, surpassing analyst forecasts of around $3.55 billion. The company also raised its 2026 revenue outlook to $13 billion-$13.3 billion.

CoreWeave's strong performance came after its shares had plummeted over 40% the previous month due to worries about its debt-financed growth. South Korea's KOSPI rose 1.8%, with SK Hynix up 3.6% and Samsung Electronics gaining 2.4%. Japan's Nikkei 225 increased 1.2%, while the TOPIX climbed 0.8%. Japanese semiconductor suppliers Kioxia, TDK, and Murata Manufacturing all saw gains above 3%.

Taiwan Semiconductor Manufacturing Company (TSM) rose 2.6%, and Largan Precision advanced 3%. Futures on the Nasdaq 100 and S&P 500 extended the positive momentum, tracking the favorable sentiment generated by CoreWeave's results. However, the gains were less pronounced in China, where the CSI 300 and Shanghai Composite indexes declined slightly.

Hong Kong's Hang Seng Index dropped 0.9%, with NetEase, Meituan, and MiniMax all posting declines. The negative sentiment in China stemmed from stronger-than-expected U.S. inflation, which drove up Treasury yields and heightened expectations of additional Federal Reserve rate hikes. Such higher borrowing costs could strain financing expenses for AI infrastructure projects and dampen valuations for growth-oriented tech companies.