The TAIEX, Taiwan’s benchmark stock index, fell 359 points, or 0.8%, to close at 42,949 on Wednesday, marking its fifth consecutive decline. The drop tracked weakness in US stock futures amid growing concerns over potential AI regulation following the possibility of a Democratic takeover of both chambers of Congress. The index touched its lowest level since July 30, pressured primarily by losses in electronic technology stocks.
The electronics sector slid 1.1%, weighed down by worries over heavy capital spending on AI infrastructure. TSMC, the world’s largest contract chipmaker and a heavyweight accounting for more than 40% of the market’s total value, lost 1.5%. Hon Hai Precision fell 2.2%, Delta Electronics tumbled 3.9%, and Unimicron declined 1.6%.
Investors also stayed cautious ahead of October inflation data due Thursday. Nonetheless, easing oil prices helped cap the market’s losses by tempering inflation fears and dampening expectations of further interest rate hikes.
