TAIPEI (Taiwan News) — Taiwan’s benchmark stock index moved higher Friday, tracking overnight gains in US equities, as technology heavyweights led a broad rebound that helped the market reclaim the 44,000-point level.
The Taiwan Capitalization Weighted Stock Index, or TAIEX, rose as much as 1,649 points during the session, marking the second-largest intraday gain on record. It ultimately closed up 1,019.58 points at 44,169.04, according to CNA and CTEE.
Turnover totaled NT$1.11 trillion (US$35.1 billion). The combined market capitalization of listed companies stood at NT$144.1 trillion, according to the Taiwan Stock Exchange.
For the week, the TAIEX declined 901 points, ending a three-week winning streak.
TSMC rose 2.67% to NT$2,310, serving as the main driver of the market’s recovery. Foxconn gained 0.77% to NT$260.5, MediaTek advanced 2.33% to NT$4,180, and Delta Electronics rose 2.55% to NT$2,215.
Memory chipmakers were among the strongest performers. Nanya Technology and Winbond Electronics both hit their daily limit-ups, while Macronix International climbed 4.64% to NT$146.5. Phison Electronics, Adata Technology, and Team Group also posted gains.
Passive component stocks attracted strong buying. Yageo, which traded ex-dividend, rose 2.27% to NT$855, even though ex-dividend stocks typically open lower after cash payout adjustments.
Within the same sector, Holy Stone Enterprise hit its daily limit-up, while Lelon Electronics advanced 6.14%. Sentiment was supported by demand for artificial intelligence servers, high-end capacitors and power components, as well as pricing and supply-chain trends.
Funds rotated into traditional sectors, with glass and plastics leading all industry sub-indices. The glass sub-index rose more than 7%, driven by Taiwan Glass’s 8.09% gain.
The plastics sub-index rose nearly 7%. The sector was led by Nan Ya Plastics, which hit a daily limit-up.
Shipping stocks gained modestly. Evergreen Marine rose 0.88%, Yang Ming Marine Transport gained 2.54%, and Wan Hai Lines added 1.43%, supported by expectations of stable freight rates and seasonal demand.
Institutional investors said easing concerns over Middle East tensions helped support global sentiment. Continued strength in AI-related industries and memory cycles underpinned Taiwan’s technology-heavy market structure, according to CTEE.
Marbo Securities Investment Consulting CEO Wang Jung-hsu (王榮旭) said investors remained cautious ahead of the weekend due to geopolitical risks. He added that markets face a “challenging week” ahead, with key monetary policy decisions expected from the US Federal Reserve, the Bank of England, and the Bank of Japan.
E Sun Investment Consulting senior analyst Tung Chi-kuo (湯麒國) suggested that medium- to long-term investors to focus mainly on AI servers and data centers, advanced semiconductor processes and packaging, printed circuit boards and optical communications, as well as memory and robotics applications. For short-term positioning, he highlighted lower base sectors, including construction stocks benefiting from eased credit-tightening measures and auto parts makers supported by US tax policy changes.
Tung noted that Taiwan equities have risen in July in roughly 80% of past instances. He said recent pullbacks could offer opportunities to gradually build positions ahead of the next upward cycle.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
