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Asian tech shares rise on AI optimism

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The gist

Asian tech shares rose after Nvidia reported doubling quarterly revenue to nearly $100bn. The AI trade's revival signals sustained demand for chips despite recent sell-offs.

Background

Nvidia, the world's most valuable company with a $5tn market cap, reported second-quarter revenue of $96bn, doubling from a year earlier, and forecast third-quarter revenue of $108bn, above Wall Street expectations. CEO Jensen Huang declared the AI industry had reached a 'golden age', boosting confidence in the AI trade after a recent sell-off in tech shares. Asian markets, particularly South Korea and Japan, have been major beneficiaries of the AI frenzy.

How it unfolded

  1. Aug 26, 2026Asian stocks stuttered as investors awaited Nvidia's earnings, with oil prices falling on hopes of Strait of Hormuz reopening.
  2. Aug 26, 2026Nvidia reported after market close: quarterly revenue doubled to nearly $100bn, with Q3 forecast above expectations.
  3. Aug 27, 2026Asian tech shares rose on AI optimism; South Korea's Kospi gained 1.5% to 6,909.81, and Japan's Nikkei rose 0.6%.

Who’s saying what

Analysts
Kathleen Brooks of XTB described Nvidia's figures as 'nothing short of stunning'.
Expert
Susannah Streeter of Wealth Club said the 'AI juggernaut is rumbling on' with Nvidia smashing expectations.
Caution
Investors remained cautious about whether massive AI spending can turn profits, as seen in the earlier sell-off.

Sources

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