The financial world long relied on the US market, but now emerging Asian markets are taking center stage. In April, indices of these markets surpassed their 2021 historical highs, challenging the stereotype of their weakness. Developing countries are no longer synonymous with poverty; instead, they're leading technological progress.
Key players include Taiwan, South Korea, and China. The Taiwanese company TSMC holds a monopoly in semiconductor manufacturing, supplying industry leaders like NVIDIA, Apple, and AMD. Its production capacity is scheduled two years ahead, underscoring its global significance.
South Korea has solidified its memory chip sector, with Samsung and SK Hynix achieving record profits and margins up to 72%. This points to a supply deficit, with virtually no alternatives.
Asia's leadership is due not only to technology but also to government-led corporate reforms, especially in Korea, which boosted investor trust and enabled the financial sector to exceed book values for the first time.
This shift is compounded by the weakening US dollar as America's budget deficits grow, prompting capital to seek new, robust markets with real economic growth and demographic momentum rather than speculative liquidity.
China, under sanctions, is localizing production and advancing in artificial intelligence, aiming for autonomy and control of future supply chains. Despite deflation and real estate crises, high-tech exports from China are hitting record levels.
In summary, global capital is shifting eastwards. The old order of US dominance is giving way to a multipolar financial world, with Asian technologies and demographics driving global growth. The era of American exceptionalism is being replaced by shared leadership in the financial landscape.
