The TAIEX, Taiwan’s benchmark stock index, rose 703 points, or 1.6%, to close at 44,929 on Monday, snapping a two-session losing streak. The rebound tracked Friday’s rally on Wall Street, where weaker-than-expected US employment data eased concerns about further Fed rate hikes at the upcoming policy meeting.
The index reached its highest level since July 16, following a period of consolidation driven by worries over heavy capital expenditures in artificial intelligence. Gains were led by health technology and electronic technology shares, both up 2.1%.
Among heavyweight constituents, TSMC, the world’s largest contract chipmaker and a stock that represents more than 40% of the market’s total capitalization, rose 0.4%. MediaTek advanced 1.5%, while Delta Electronics surged 10.0%.
Upside momentum was partly capped by rising oil prices, which stoked inflation concerns and reinforced expectations of potential interest rate increases. Investors also looked ahead to US inflation data due this week for further signals on the Fed’s monetary policy stance at its forthcoming meeting.
