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Goldman Sachs (Asia) L.L.C. research highlights a strategic focus on the hardware sector's valuation reset, underpinned by robust AI compute infrastructure demand and an AI PC replacement cycle. Analysts emphasize a positive outlook for companies like Dell and Lenovo, citing significant earnings growth potential and strong global market performance. Broader regional coverage underscores a historic rally in South Korea, driven by aggressive foreign inflows and a target for the KOSPI to reach 8,000 amid projected 220% earnings growth by 2026. This optimism is balanced by critical macroeconomic monitoring, including IMF interventions in Sri Lanka, shifting monetary policy in South Korea, and complex restructuring developments within the corporate credit landscape. Ultimately, the research reflects a dual emphasis on leveraging AI-led capital expenditure in Taiwan and regional tech sectors, while navigating the volatility of sovereign and corporate debt markets across Asia.

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