South Korean renewable energy stocks soared on Wednesday morning, buoyed by policy expectations following the victory of Democratic Party Leader Lee Jae-myung in the presidential election on Tuesday.

Shares of HD Hyundai Energy Solutions Co., a solar energy company, were trading 1.34 percent higher at 52,900 won ($38.5) as of 10:20 a.m. on Wednesday.

The stock jumped 12.45 percent to a new 52-week high of 58,700 won after the market opened.

Other green energy stocks also gained ground.

Shares of Green Chemical Co. jumped 4.64 percent to 8,570 won as of 10:22 a.m. while those of Hanwha Solutions Corp. increased 4.68 percent to 31,300 won and those of SK oceanplant Co. climbed 0.83 percent to 19,370 won.

Analysts attributed the rally to President Lee’s campaign pledge during the presidential election to establish a dedicated ministry to oversee climate and energy policies such as greenhouse gas reduction and to expand the adoption of solar and wind power for an eco-friendly transition to renewable energy.

“Large-scale investments are expected to replace coal power with renewable energy,” said Han Byung-hwa, a researcher at Eugene Investment & Securities Co. “There will also be installations of power grids and electrical equipment.”

On Wednesday, semiconductor stocks also surged on overnight gains on the New York Stock Exchange.

Shares of SK hynix Inc. surged 5.9 percent to 219,750 won as of 10:27 a.m. while those of Samsung Electronics Co. edged up 1.76 percent to 57,800 won.

Semiconductor stocks in New York performed well overnight, with Nvidia Corp. rising 2.8 percent.

Investment bank Jefferies improved investor sentiment by predicting that Nvidia’s gross profit margin will increase this year on a rise in production volume of its Blackwell AI chips.

Meta Platforms Inc.’s 20-year power purchase agreement with Constellation Energy Corp. also boosted expectations for the sustainability of the AI industry.

Shares of Broadcom Inc. also increased 3.27 percent, Micron Technology Inc. jumped 4.15 percent, and Advanced Micro Devices Inc. gained 2.34 percent, lifting the Philadelphia Semiconductor Index by 2.72 percent for two straight sessions.

Shares of HD Hyundai Energy Solutions finished 0.19 percent higher at 52,300 won while those of Green Chemical ended at 8,480 won, 3.54 percent higher. Shares of Hanwha Solutions closed at 31,600 won and those of SK oceanplant Co. finished at 19,450 won.

SK hynix Inc. ended the session at 217,500 won and Samsung Electronics at 57,800 won.

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