TAIPEI (Taiwan News) — Taiwan's stock market ended slightly lower on Monday as easing foreign exchange volatility lifted sentiment, offsetting losses in heavyweight stocks with gains in steel, auto, aviation, AI, and security tech sectors.
The Taiwan Stock Exchange Capitalization Weighted Stock Index, or TAIEX, edged down 10.4 points to close at 20522.59. Turnover totaled NT$303 billion (US$10 billion), according to CNA and CTEE.
TSMC and MediaTek declined, falling 1.92% and 1.16%, respectively, to close at NT$920 (US$30) and NT$1,280. In contrast, Foxconn gained 2.46% on the back of strong April revenue, closing at NT$146, bolstered by continued demand from Nvidia.
AI-related stocks performed strongly, led by Aspeed Technology, a beneficiary of Nvidia's GB200 platform, which hit the daily limit-up on heavy volume. Other stocks, including Wiwynn, Wistron, and King Slide Works, also posted solid gains.
The recent rise in the New Taiwan dollar has been favorable for the tourism and airline sectors, with the outbound travel boom expected to continue. Tourism stocks such as Star Travel, Yummy Town, Ezfly International Travel Agent, and Lealea Hotels & Resorts all hit the daily limit-up.
In the aviation sector, Tigerair Taiwan hit the limit-up. Eva Air, China Airlines, and Starlux Airlines saw gains.
Traditional industry stocks showed strength across various sectors. Steel stocks were strong, with China Steel rising 3.55%, while Chien Shing Stainless Steel, Sinkang Industries, Hai Kwang Enterprise, and Froch Enterprise all hit the limit-up or posted significant gains.
Auto stocks also rose, with Hotai Motor, Tong Yang Industry, Truvo International, Tyc Brother Industrial, and Global Pmx performing well.
Security technology stocks were another bright spot, with standout gains from Av Tech, Acula Technology, and Treasure Plus Industrial. Security monitoring involves advanced technologies such as cameras, sensors, and specialized software systems to monitor and manage security in designated areas.
Plastics stock Hsinli Chemical Industrial saw both volume and price gains, rising over 57% in April. The company reported a 328.4% year-on-year increase in estimated March profit.
Taishin Taiwan AI High Dividend and Momentum ETF manager Huang Yu-min (黃鈺民) noted that the recent rise in the New Taiwan dollar has raised concerns over export competitiveness, contributing to a short-term market correction. Exporters may see lower profits because they receive payments in US dollars, while the stronger Taiwan dollar reduces the value of their earnings when converted.
Huang remains optimistic about Taiwan's economy and corporate earnings this year. After recent declines, both US and Taiwanese stocks have room for recovery, he said.
Huang added that Taiwan’s AI supply chain is well-positioned for long-term growth.
This information is not intended as personalized financial advice. Investors are encouraged to conduct their own research and analysis before making investment decisions.
