Taiwan Shares Scale Fresh High

The benchmark TAIEX climbed to around 35,450 on Tuesday, extending its bullish streak to a fresh record high as investors rotated back into AI-linked stocks. Sentiment was further lifted by new policy incentives from Beijing following a landmark meeting between President Xi Jinping and Taiwan opposition leader Cheng Li-wun, which markets viewed as a potential signal of easing cross-strait tensions. Broader risk sentiment also improved as markets monitored signs that the US and Iran may be open to resuming peace negotiations. Gains were led by heavyweight TSMC (+1.5%), alongside Delta Electronics (+2.3%), Hon Hai Precision Industry (+3.5%), MediaTek (+3.1%), and ASE Technology (+3.5%). Year to date, the benchmark has gained roughly 25%, fully erasing losses seen since late February when the Iran conflict began, and is significantly outperforming the MSCI Asia Pacific Index, which is up just over 9%.

The TAIEX, the Taiwan Stock Exchange's benchmark index, climbed 448 points, or 1.3%, to 35,309 around noon, gaining for the fourth straight session and marking its highest level since February 26. The broader index followed a rally on Wall Street overnight as markets entered a consolidation phase after Wednesday’s relief rally. Sentiment was also lifted by renewed Middle East de-escalation after reports that Israel signaled openness to negotiations with Lebanon. The latest data from China also fueled sentiment, as PPI in the mainland rose for the first time in three years, even as CPI increased less than expected. Almost all sectors traded in the green, including electronic technology, manufacturing, and technology services. Among the top performers were Win Win Precision Tech, Tyntek, Chiefteck, and Sixxon Tech, which surged by 10% each. Meanwhile, contract chipmaker TSMC rose 2.3% after reporting revenue of T$1.134 trillion in Q1. For the week, the index is heading for a 1.3% gain.

The TAIEX, the Taiwan Stock Exchange's benchmark Index surged 1,532 points, or 4.6%, to close at 34,761, extending gains from the previous session and marking its highest level since early March. The broader index followed a rally in US futures after US President Trump announced a two-week ceasefire with Iran. Almost all sectors traded in the green, including electronic technology, manufacturing, technology services, distribution services, and finance. On the data front, Taiwan's annual inflation rate slowed to 1.2% in March 2026, easing from a ten-month high of 1.75% recorded in February. Contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC), which accounts for more than 40% of total market value, rose 4.8%. Other large-cap tech stocks also recorded sharp gains, including Delta Electronics and Hon Hai Precision, which surged 9.9% and 5.0%, respectively. Meanwhile, Eternal Materials, Sigurd Microelectronics, and Winway Technology each surged 10%.