The TAIEX, Taiwan’s benchmark stock index, dropped 686 points, or 1.6%, to 41,212 in Wednesday morning trading, ending a two-session winning streak. The pullback came as investors took profits after the index had closed near a record high the previous day, with electronic technology and technology services shares leading the decline.
The electronic technology sector fell 2.4%, dragged down by TSMC— which accounts for more than 40% of the market’s total capitalization—slipping 2.0%. Other notable decliners included MediaTek (-6.2%), Delta Electronics (-1.8%), and Hon Hai Precision Industry (-1.4%). Technology services stocks tumbled 3%, with Wiwynn Corporation losing 2.3%.
The broader market also mirrored a weaker session on Wall Street overnight after inflation came in higher than expected, and rising oil prices reinforced expectations that the Federal Reserve may hold off on cutting interest rates this year. At the same time, traders were watching plans for a meeting between US President Donald Trump and Chinese President Xi Jinping later this week.
