Stock Market in Taiwan May Experience Growth on Tuesday
Taiwan Stock Exchange Shows Mixed Performance Amid Global Uncertainties
The Taiwan Stock Exchange (TSE) has seen a mixed performance over the past week, with the TAIEX index showing signs of consolidation after a strong run.
Last week, the TAIEX gained 586.88 points, reflecting improving market sentiment and US artificial intelligence stock strength. Key electronic and technology stocks, including TSMC, MediaTek, Delta Electronics, and Hon Hai Precision, led gains, despite some volatility and profit-taking pressures.
On August 5, the TAIEX jumped 281.65 points (1.20%) to 23,660.59, driven by strong performances in electronics and technology sectors. Notable rises were seen in TSMC (+1.32%), Foxconn (+2.5%), MediaTek (+0.75%), and Delta Electronics (+6.58%). By August 8, the index rose further by 17.49 points to 24,021.26, with gains in AI, robotics, and semiconductor equipment firms.
However, the TSE experienced a modest decline on Monday, with losses from the plastics companies, gains from the financials, and a mixed performance from the technology stocks. TSMC experienced a drop of 0.44 percent, while United Microelectronics Corporation rose by 0.37 percent. Among others, Hon Hai Precision, MediaTek, Delta Electronics, and several other tech companies also saw price changes.
The decline in crude oil price is possibly due to fears of a tariff-induced slowdown by the global economy. West Texas Intermediate crude for September delivery was down $1.06 or 1.57 percent at $66.27 per barrel on Monday.
Market forecasts for Asian markets and technology stocks suggest mild upside but tempered by global uncertainties. The global economic outlook remains cautious, affected by geopolitical tensions such as US tariff threats on semiconductors. This has led to interest shifts toward semiconductor equipment firms with US operations.
Optimism about the weak jobs data leading to a Federal Reserve interest rate cut next month has increased. According to CME Group’s FedWatch Tool, the chances of a quarter point rate cut in September have jumped to 91.9 percent from 63.1 percent a week ago.
Despite these uncertainties, the Taiwan market continues to be led by its tech and electronics sectors. The major averages on Wall Street opened and closed higher on Monday, reversing some of the previous week’s losses. European and U.S. markets were significantly higher on the previous day.
It is important to note that this analysis reflects data up to August 8, 2025; markets may have evolved since then.
Investors focused on the Taiwan Stock Exchange (TSE) might consider the technology and electronics sectors for investing opportunities, given their strong performance over the past week. Involvement in stock-market activities could be influenced by global uncertainties, such as geopolitical tensions and interest rate decisions from central banks like the Federal Reserve.
