FX.co ★ TAIEX Pulls Back from Record Peak, Ends 1.4% Lower

The TAIEX, Taiwan’s benchmark stock index, fell 620 points, or 1.4%, to close at 43,636 on Thursday, wiping out the previous session’s gains. The decline was driven mainly by profit-taking in electronic technology and technology services shares.

The pullback came after the index hit a record high on Wednesday, closing at 44,257 and breaching the 44,000 level for the first time, buoyed by strong advances in electronic technology stocks on optimism over AI-related demand. On Thursday, however, electronic technology and technology services shares fell 1.5% and 1.9%, respectively.

Taiwan Semiconductor Manufacturing Company (TSMC), which represents more than 40% of the market’s total capitalization, edged down 0.2%. MediaTek and Delta Electronics dropped 5.0% and 5.2%, respectively, while Hon Hai Precision Industry slipped 0.4%.

Market sentiment was further dampened by renewed geopolitical tensions in the Middle East, following US strikes on Iranian targets.