Seoul shares start 13% higher on US tech gains driven by Microsoft's strong earnings

South Korean stocks opened sharply higher Friday, surging by 13 percent, driven by gains in semiconductor shares stemming from an overnight rally in US tech giants backed by a strong earnings report from US tech giant Microsoft. After opening 1.15 percent higher, the benchmark Korea Composite Stock Price Index widened

The company’s cloud business is sporting impressive growth, and Microsoft expects to avoid heading into cash-burn mode as it spends up on AI.

The central bank's managing director said global financial conditions have been benign so far, but a "major uncertainty" is the sustainability of the artificial intelligence investment boom.