The TAIEX, Taiwan’s benchmark stock index, climbed 933 points, or 2.1%, to 45,159 in Monday morning trade, fully reversing losses from the previous two sessions. The rebound followed a rally on Wall Street on Friday, after weaker-than-expected US jobs data eased concerns about potential Fed rate hikes at the upcoming policy meeting. The broader index touched its highest level since July 16, recovering from a period of consolidation sparked by worries over heavy capital spending on AI.
Gains were led by electronic technology stocks, which advanced 2.7%. TSMC, the world’s largest contract chipmaker and a heavyweight that represents more than 40% of the market’s total capitalization, rose 1.1%. MediaTek gained 1.3%, while Delta Electronics jumped 10.0%.
Upside momentum was partly capped by rising oil prices, which fanned inflation concerns and reinforced expectations of further interest rate hikes. Market participants also looked ahead to this week’s release of US inflation data for additional guidance on the Fed’s monetary policy stance at its forthcoming meeting.
