29.07.202606:58:29UTC+00TAIEX Closes at Over-2-Month Low on Tech Weakness

The TAIEX, Taiwan's benchmark stock index, tumbled 1,564 points, or 3.8%, on Wednesday to close at 40,039. It was the fourth straight session of losses and the lowest close since May 20, as a global selloff in chipmakers continued to pressure technology heavyweights.

Sentiment deteriorated on mounting worries about earnings amid heavy AI-related capital expenditures, after the Philadelphia Semiconductor Index dropped 4.5% overnight. The broader market also mirrored declines in U.S. stock futures ahead of the Federal Reserve’s policy decision, against a backdrop of rising oil prices driven by escalating conflict in the Middle East.

Electronic technology stocks sank 4.5%, extending a 5.3% slide in the previous session. TSMC, the world’s largest contract chipmaker and a constituent accounting for more than 40% of the TAIEX’s total market value, fell 2.2% following a 3.0% decline a day earlier. Among other major names, ASE Technology Holding, Delta Electronics, and MediaTek dropped 9.9%, 7.9%, and 7.5%, respectively.