Taiwan Stocks Hold at Over 3-Month Low

The TAIEX, Taiwan’s benchmark stock index, slumped 2,700 points, or 6.5%, to 38,874 in Friday morning trade, touching its lowest level since April 23 and tracking declines on Wall Street overnight due to a plunge in AI-related stocks amid worries about the implications of the Democrats' sweeping victory on Tuesday. All subsectors traded in the red, led by electronic technology and producer manufacturing, which plunged by 8.1% and 8.6%, respectively. The broader index extended losses for a seventh consecutive session, with TSMC, the world’s largest contract chipmaker, accounting for more than 40% of the market’s total value, slumping 5.6%. Other heavyweight tech stocks also fell, including MediaTek (-6.2%), Hon Hai Precision (-6.4%), and Delta Electronics (-9.7%). However, a slowdown in October inflation helped prevent further losses in the index. For the week, the index is heading for a 14.0% plunge, which would mark its fourth straight weekly loss amid a tech selloff.

The TAIEX, Taiwan’s benchmark stock index, plunged 1,374 points, or 3.2%, to close at 41,575 on Thursday, extending losses for a sixth consecutive session, mainly dragged down by electronic technology. The broader index lingered at its lowest level since July 30, with electronic technology falling 3.6%, amid persistent concerns over massive spending on AI infrastructure. Traders also anticipated the release of October inflation data after the market closed. However, moderating oil prices helped limit losses as inflation concerns and expectations of interest rate hikes eased. An upbeat session on Wall Street overnight also prevented the index from falling further, after Democrats won back control of Congress. Heavyweight stocks slumped, including MediaTek (-6.9%), Delta Electronics (-7.4%), and ASE Technology (-8.8%), while Hon Hai Precision shed 2.1%. TSMC, the world’s largest contract chipmaker, which accounts for more than 40% of the market’s total value, fell 0.9%.

The TAIEX, Taiwan’s benchmark stock index, fell 635 points, or 1.5%, to 42,314 in Thursday morning trade, extending losses for a sixth consecutive session, mainly dragged down by electronic technology. The broader index lingered at its lowest level since July 30, with electronic technology declining 2.9%, amid concerns over massive spending on AI infrastructure. Traders also anticipated the release of October inflation data after the market closed. However, moderating oil prices helped limit losses as inflation concerns and expectations of interest rate hikes eased. An upbeat session on Wall Street overnight also prevented the index from falling further, after Democrats won back control of Congress. Heavyweight stocks shed value, including MediaTek (-3.8%), Delta Electronics (-5.7%), and ASE Technology (-6.5%). However, TSMC, the world’s largest contract chipmaker, which accounts for more than 40% of the market’s total value, rose 0.2%.