SoftBank surges more than 12% as Iran-U.S. peace deal sends Asia stocks soaring

Asian technology stocks experienced a significant upswing on Monday, following the announcement of a peace agreement between Iran and the United States aimed at resolving the ongoing Middle East conflict. Leading the surge was SoftBank, a prominent Japanese tech investor, whose shares climbed by over 12%, marking it as the top performer in the region. Other major players in the tech sector also saw notable gains, with Tokyo Electron and Advantest increasing by 9.19% and 7.69%, respectively. In South Korea, memory chip giants Samsung Electronics and SK Hynix rose by 4.65% and 6.42%, while Taiwan Semiconductor Manufacturing Company (TSMC) and Foxconn (Hon Hai Precision) recorded increases of 2.16% and 2.5%. This rally in tech stocks comes in the wake of a positive sentiment among investors, spurred by expectations of a potential resolution to the Middle East tensions. According to Pakistan's Prime Minister Shehbaz Sharif, both Iran and the U.S. have agreed on a deal that includes a complete and permanent cessation of military operations. The official signing ceremony is set to take place on Friday, June 19, in Switzerland. U.S. President Donald Trump also indicated in a recent social media post that the deal would facilitate the reopening of the Strait of Hormuz without tolls and the termination of the U.S. naval blockade on Iran, urging global shipping to resume operations. The overall tech sector has been performing well, as noted by Ecaterina Bigos, the Chief Investment Officer of BNP Paribas Asset Management for Asia ex Japan. She mentioned in an interview that while investors are rebalancing their portfolios, there remains a strong interest in staying competitive in the AI race. In addition to the tech stocks, broader Asian markets also experienced gains, reflecting a collective optimism regarding the de-escalation of tensions in the region.