TAIPEI (Taiwan News) — Taiwan’s benchmark stock index opened lower on Tuesday as investors remained cautious over uncertainty in the Middle East but gradually recovered to finish higher.
The Taiwan Stock Exchange Capitalization Weighted Index (TAIEX) closed up 191.96 points, or 0.43%, at 45,120.72. Turnover totaled NT$869.02 billion (US$26.9 billion), according to Taiwan Index Plus and CTEE.
The index’s most heavily weighted stocks closed mixed. TSMC rose 0.63% to NT$2,395.
MediaTek gained 1.52% to NT$4,020. Delta Electronics fell 0.55% to NT$1,805, Foxconn declined 0.57% to NT$263, and ASE slipped 0.16% to NT$629, according to Anue.
King Slide Works, the second-highest-priced stock on the TAIEX, hit a record NT$12,540 during the session and closed 3.44% higher at NT$12,315. The server rail maker reported its fifth consecutive month of record revenue in July, while analysts expect demand for stronger and thinner server rails to grow with AI-driven data center upgrades.
Passive component stocks were among the market’s strongest performers, with several leading stocks seeing increased trading volume. Industry leader Yageo gained 7.68%, while Holy Stone Enterprise, Walsin Technology, Prosperity Dielectrics, and Ever Ohms Technology all hit their daily limits.
Investors expect passive component makers to see stronger demand in the second half of the year. Prices for high-end industrial and automotive products are also likely to rise, according to Sinotrade.
Battery module stocks also advanced, with Simplo Technology hitting its daily limit and Dynapack International Technology rising 8.11%. The trend was supported by the adoption of battery backup units (BBUs) as standard equipment in Nvidia’s GB200 and next-generation AI server racks.
Biotechnology stocks were led by PharmaEssentia, which hit its daily limit at NT$1,460 ahead of its investor conference Wednesday. Pell Bio-Med Technology and Medimaging Integrated Solution also saw gains.
In contrast, gallium arsenide stocks came under pressure after earlier gains driven by AI and low Earth orbit satellite themes. Institutional investors took profits at elevated price levels, with Win Semiconductors falling 3.76%, Advanced Wireless Semiconductor declining 1.27%, and Visual Photonics Epitaxy dropping 4.42%.
Senior analyst Chien Po-yi (簡伯儀) said that although the TAIEX rebounded Tuesday, trading volume remained relatively low. He said the market would need higher turnover to challenge previous highs, according to CTEE.
With monthly revenue and quarterly earnings announcements nearing completion, Chien said the lack of new positive catalysts could leave the market subject to further volatility. He added that the monthly and quarterly moving averages would be key support levels, with a break below them potentially prompting a further pullback.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
