Taipei: Shares in Taiwan closed slightly lower Friday after moving in a narrow range as turnover shrank amid the expanding military conflict in the Middle East, dealers said. The Taiex, the Taiwan Stock Exchange’s benchmark index, ended down 73.40 points, or 0.22 percent, at 33,599.54 after fluctuating between 33,322.52 and 33,829.49. Turnover totaled NT$631.11 billion (US$19.95 billion), down from NT$793.65 billion seen Thursday.
According to Focus Taiwan, MasterLink Securities analyst Tom Tang noted that despite the ongoing war in the Middle East, many investors felt some relief as other regional markets such as Tokyo and Hong Kong rebounded. Tang highlighted that the day’s reduced turnover indicated that investors were calm after previous market fluctuations, maintaining faith in tech stocks for high cash dividends during the current AI boom.
In the tech sector, Taiwan Semiconductor Manufacturing Co. (TSMC) dropped 0.53 percent to close at NT$1,890.00. MediaTek Inc. fell 0.56 percent to NT$1,765.00, while Alchip Technologies Ltd. gained 1.22 percent to NT$3,310.00. Quanta Computer Inc. lost 0.17 percent to NT$289.00, but Wistron Corp. rose 1.56 percent to NT$130.50. Hon Hai Precision Industry Co. slid 0.45 percent to NT$223.00, while Gold Circuit Electronics Inc. gained 7.61 percent to NT$792.00.
Tang also mentioned that raw material stocks attracted bargain hunting due to low valuations, with the petrochemical industry hopeful for price boosts from spiking international crude oil prices. The petrochemical index rose 1.58 percent, with Formosa Plastics Corp. gaining 5.91 percent to NT$50.20, and Formosa Chemicals and Fibre Corp. adding 4.98 percent to NT$46.00. Taita Chemical Co. soared 10 percent to NT$13.95.
In the steel industry, China Steel Corp. rose 3.11 percent to NT$19.90, and Chung Hung Steel Corp. increased 5.25 percent to NT$18.05. The financial sector saw a decline of 0.27 percent, with Fubon Financial Holding Co. down 1.88 percent to NT$88.80, while Yuanta Financial Holding Co. gained 1.21 percent to NT$45.90.
Tang further stated that rising U.S. stock futures indicate a higher opening on the spot market, suggesting that if U.S. markets stabilize, the Taiex might continue its consolidation and potentially see another upturn. According to the Taiwan Stock Exchange, foreign institutional investors sold a net NT$35.24 billion in shares on the market Friday.