Not UK, Canada or France! After Taiwan, THIS East Asian nation overtakes India to become world’s 6th largest stock market – What powered the rally? – Markets

Not UK, Canada or France! After Taiwan, THIS East Asian nation overtakes India to become world’s 6th largest stock market - What powered the rally? - Markets


South Korea’s equity market has overtaken India’s as the world’s sixth largest, driven by a relentless surge in chip heavyweights powering the global artificial intelligence buildout, Bloomberg reported.

Korea has vaulted past Canada, Germany, the UK, and France this year.

The total market capitalization of Korea-listed companies has soared 86 per cent this year to USD 5 trillion, while India’s has declined to USD 4.8 trillion, data compiled by Bloomberg show.

Samsung Electronics Co. and SK Hynix Inc., newly minted members of the USD 1 trillion valuation club, have powered Korea’s equity surge, lifting the Kospi’s 2026 gains to more than 100 per cent through their dominance in AI memory chips.

“Closing in on India is a remarkable milestone for a market that, not long ago, was setting Kospi 5,000 as an ambitious target,” said Ross McGarry, senior investment analyst at Asset Value Investors. “This year’s rally, though, has been heavily carried by the memory cycle — Samsung and SK Hynix have done the heavy lifting. The real test is whether Korea can sustain this re-rating through genuine corporate governance reform.”

India, meanwhile, has been dragged lower by a weakening rupee, record foreign outflows and a dearth of companies directly linked to the AI infrastructure.

While Korea has overtaken in market value, India’s $4.15 trillion economy — among the fastest growing in the world — still trumps Seoul’s $1.93 trillion gross domestic product, according to International Monetary Fund estimates.

Last month, Bloomberg reported that Taiwan overtook India in stock market value, powered mainly by a breakneck rally in the world’s largest chipmaker Taiwan Semiconductor Manufacturing Co.

The island’s market capitalization climbed to USD 4.95 trillion as of Monday, according to data compiled by Bloomberg. India’s value has dropped to USD 4.92 trillion. Taiwan’s stock market is now the fifth largest in the world, behind only the US, mainland China, Japan and Hong Kong.

Taiwan’s ascent up the global equity rankings is largely driven by TSMC, which now accounts for about 42 per cent of the benchmark index, representing intense market concentration. The chipmaker’s shares have rallied 49 per cent this year as it has benefited from the artificial intelligence trade, in which its semiconductors have a dominant market position.

Indian stock market today

Indian stock markets opened deep in the red, weighed down by US–Iran concerns. The BSE Sensex was down 430 points at 73,836.73, while the NSE Nifty 50 traded 0.6 per cent lower at 23,246.15.

(With inputs from Bloomberg)



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