Taiwan Stocks Scale Fresh High

The TAIEX, Taiwan’s benchmark stock index, climbed more than 2% to around 44,700 on Wednesday, scaling a fresh record, powered by a rally in heavyweight electronic technology stocks. The advance was spearheaded by TSMC, which rose over 2%, tracking global optimism around artificial intelligence. Its peers MediaTek (+10%), Delta Electronics (+8.7%), Hon Hai Precision (+3.3%), and ASE Technology (+6.2%) also jumped. Meanwhile, markets continued to assess developments in the Middle East, following recent US military action in Iran, which underscored the fragility of ongoing Washington–Tehran diplomatic efforts and raised questions over whether a deal can still be reached. On the data front, Taiwan’s consumer confidence index slipped to 62.1 in May from 62.5 in April, marking its lowest level since January 2023, as external uncertainties continued to weigh on the outlook, particularly rising risks linked to the Iran conflict.

The TAIEX, Taiwan’s benchmark stock index, dropped 68 points, or 0.2%, to 43,577 in Tuesday morning trade, erasing gains from the previous three sessions, as traders took profits after the index hit a record high a day earlier. The decline was weighed down by electronic technology stocks, which fell 0.2%, with Taiwan Semiconductor Manufacturing Company (TSMC), which accounts for more than 40% of the market’s total value, dropping 0.9% after rising 2.4% on Monday. Meanwhile, Hon Hai Precision Industry and ASE Technology fell 0.4% and 1.6%, respectively. Rising oil prices also pressured the index after fresh US military strikes in Iran clouded the outlook for a US-Iran deal to reopen the Strait of Hormuz. The broader index closed at 43,644 on Monday, marking the fifth-largest closing-point gain on record, buoyed by the world’s largest chipmaker, TSMC. Taiwan overtook India in stock market value, buoyed by TSMC, bringing it to the fifth largest in the world, according to Bloomberg.

The TAIEX, Taiwan’s benchmark stock index, surged 1,209 points, or 2.9%, to 43,477 around midday on Monday, gaining for a third straight session and tracking rises in U.S. futures buoyed by optimism surrounding US-Iran end-of-war talks. The broader index touched 43,000 for the first time, mainly supported by a surge in electronic technology stocks, which jumped 3.5%. Taiwan Semiconductor Manufacturing Company (TSMC), which accounts for more than 40% of the market’s total value, rose 1.8%, while MediaTek jumped 10.0% and Delta Electronics soared 8.8%. Meanwhile, technology services rose 1.8%, with Co-Tech Development Corp soaring 4.8%. However, traders awaited the release of data on the country’s industrial production for April after it jumped in March, as well as retail sales data for April.