The AI boom is pushing East Asian stock markets to record highs even as their economies feel the pain of wartime supply disruptions.

JPMorgan Chase on Monday lifted its target for South Korean stocks on surging AI-related demand for semiconductors. Asia’s three most valuable firms are chipmakers: Some investors are pouring into those companies on the belief that they already make money from AI, Reuters wrote, in contrast to doubts over the payoff from their American counterparts’ massive AI spending.

Still, the dynamic in South Korea, Japan, and Taiwan somewhat mirrors the US, in which tech is propping up equity markets even as broad economic uncertainty persists because of the Iran war.