Shares of SK Hynix surged 30% to hit the daily limit-up level in South Korea on Friday, staging a dramatic rebound after the stock suffered steep losses in previous sessions. The rally came as investors rushed back into AI-related semiconductor stocks following an improvement in market sentiment.

The memory-chip maker had come under heavy selling pressure earlier this week as concerns over stretched valuations, profit-taking in AI stocks and broader market volatility triggered a sharp pullback across the semiconductor sector.

HONG KONG — The rebound spilled over into Hong Kong, where the CSOP SK Hynix Daily (2x) Leveraged Product soared as much as 70% in afternoon trading. The leveraged product significantly outperformed the underlying stock as investors sought amplified exposure to SK Hynix's sharp recovery.

NEW YORK — SK Hynix ADR climbed nearly 8% in U.S. overnight trading, signaling that bullish sentiment toward the company had also spread to overseas investors following the stock's limit-up performance in Seoul.

SK Hynix has been one of the biggest beneficiaries of the artificial intelligence boom, driven by robust demand for high-bandwidth memory (HBM) chips used in AI accelerators. However, the stock came under pressure earlier this week after concerns over elevated valuations and a broader selloff in AI-related equities prompted investors to lock in profits. Friday's rebound suggests investors remain confident in the company's long-term growth prospects despite recent volatility.