TAIEX Plunges 4.3% to 2-Week Low on Tech Weakness

The TAIEX, Taiwan’s benchmark stock index, slumped 1,568 points, or 3.5%, to close at 43,503 on Monday, retreating for the third straight session and touching its lowest level since May 22. The decline tracked losses on Wall Street on Friday, where a tech selloff weighed on sentiment.Traders were also concerned about expectations that high interest rates could weigh on AI-related stocks. Caution also built amid escalating tensions in the Middle East after Israel launched retaliatory strikes on Iran following Tehran's attacks on northern Israel. All sectors traded in negative territory, with electronic technology plunging 3.7%, technology services slumping 5.1%, and energy minerals falling sharply by 4.9%. TSMC, the world's largest contract chipmaker, which accounts for more than 40% of the market's total value, shed 3.0%. Other sharp losers included United Microelectronics (-8.0%), ASE Technology (-6.4%), Hon Hai Precision (-5.3%), MediaTek (-5.4%), and Delta Electronics (-2.0%)

The TAIEX, Taiwan’s benchmark stock index, plunged 1,953 points, or 4.3%, to 43,117 in Monday morning trading, falling for the third straight session and touching its lowest level since May 22. The decline tracked losses on Wall Street on Friday, where a tech selloff weighed on sentiment. Traders were also concerned that high interest rates could weigh on AI-related stocks. Investors continued to take profits after the index hit a record high last Wednesday, closing at 46,459, the first close above the 46,000 level, as optimism over AI investment continued to support sentiment. All sectors traded in the red, with electronic technology slumping 5.0%, technology services plunging 7.0%, and process industries falling sharply by 6.2%. TSMC, the world's largest contract chipmaker, which accounts for more than 40% of the market's total value, dropped 2.5%. Other sharp losers included MediaTek (-6.2%), Delta Electronics (-5.4%), Hon Hai Precision (-6.5%), and ASE Technology (-8.3%).

The TAIEX, Taiwan’s benchmark stock index, dropped 782 points, or 1.7%, to close at 45,677 on Thursday, snapping a four-session winning streak, as traders took profits after the index hit a record high in the previous session. The broader index pulled back from the record peak of 46,459 reached a day earlier, after closing above the 46,000 level for the first time as optimism over AI investment continued to lift sentiment. The index tracked a fall on Wall Street overnight amid renewed escalation of the Middle East conflict. The index was mainly weighed down by electronic technology and producer manufacturing stocks. Electronic technology stocks shed 2.2%, with TSMC, the world's largest contract chipmaker, which accounts for more than 40% of the market's total value, falling 1.7% after gaining 1.7% on Wednesday. Other decliners included MediaTek (-2.5%), Delta Electronics (-1.2%), Hon Hai Precision (-5.2%), ASE Technology (-4.1%), and United Microelectronics (-4.2%).