TAIEX Plunges 4.3% to 2

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

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%).

More news from Trading Economics