South Korea overtakes India in global market cap rankings

India’s stock market has fallen to seventh place globally by market capitalization, overtaken this week by South Korea following a similar move by Taiwan last month. The shift reflects a stark divergence in performance driven by the global rush toward artificial intelligence and semiconductor investments.

According to data compiled by Bloomberg, the total market value of companies listed in South Korea has surged 86% this year to breach the $5 trillion mark, while India’s market capitalization stands at approximately $4.8 trillion. Taiwan’s market, valued at around $5.2 trillion, moved ahead of India in late May. The United States, China, Japan, and Hong Kong currently occupy the top four positions.

The reversal highlights how AI-related investment is reshaping global capital flows. South Korea’s rally has been powered by semiconductor giants Samsung Electronics and SK Hynix, each now valued at over $1 trillion, which together account for a large portion of the country’s benchmark KOSPI index. Similarly, Taiwan’s market has been lifted by Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest chipmaker. Both South Korean and Taiwanese equity indices have soared...