Taiwan's Stock Market Closes Lower Amid Weakness in Major Technology Stocks

Strategic Insights -

The Taiwan Capitalization Weighted Stock Index (TAIEX) finished down 728.06 points at 23,625.44 on Wednesday, tracking losses in US equities. Turnover reached NT$546 billion (US$18 billion). Major technology stocks weighed on the broader market, with TSMC declining 4.22% to NT$1,135, accounting for a 402-point drag on the TAIEX. In contrast, UMC gained 2.07% to NT$41.9 after US Commerce Secretary Howard Lutnick confirmed Washington is in talks to acquire a 10% stake in Intel, a UMC partner. Electronics shares moved lower, including companies tied to artificial intelligence and materials for printed circuit boards.

Key Takeaways:

  • The Taiwan Capitalization Weighted Stock Index (TAIEX) finished down 728.06 points at 23,625.44 on Wednesday, with turnover reaching NT$546 billion (US$18 billion).
  • TSMC declined 4.22% to NT$1,135, accounting for a 402-point drag on the TAIEX, while UMC gained 2.07% to NT$41.9 after US Commerce Secretary Howard Lutnick confirmed Washington's talks to acquire a 10% stake in Intel.
  • Electronics shares moved lower, including companies tied to artificial intelligence and materials for printed circuit boards, with silicon photonics stocks retreating 5.07% to 6.83%.
  • Taiwan Glass closed at the daily limit down at NT$32.4 after the spouse of company president Lin Po-shi announced plans to sell 400,000 shares starting Friday.
  • Outside large-cap tech, home and lifestyle stocks offered some support, with Nien Made Enterprise and Taiwan Sakura posting gains, boosting the household goods index.
  • Polaris Pharmaceuticals hit the daily limit-up, helping the sector index finish slightly higher after earlier volatility.

Statistics:

  • The Taiwan Capitalization Weighted Stock Index (TAIEX) finished down 728.06 points at 23,625.44 on Wednesday.
  • Turnover reached NT$546 billion (US$18 billion).
  • TSMC declined 4.22% to NT$1,135.
  • UMC gained 2.07% to NT$41.9.
  • Taiwan Glass closed at the daily limit down at NT$32.4.
  • 9% of Aurotek stocks dropped, with Delta Electronics, Advantech, Nexcom, Hiwin Technologies, and Ace Pillar ending lower.

Sources:

  • CNA
  • CTEE
  • Taishin Securities Investment Advisory Vice President Huang Wen-ching