Taiex Hits Record 48,601.53 as Semiconductor Stocks Surge
Taiwan's benchmark index reached a new intraday peak driven by strong gains in major chipmakers.
Key points
- Taiex reached a record intraday high of 48,601.53 on Tuesday.
- MediaTek shares jumped 7.88% while TSMC rose 0.40% during the session.
- Taiwan produces over 90% of the world's most advanced semiconductor chips.
Taiwan's benchmark Taiex index hit a record intraday high of 48,601.53 on Tuesday. The rally was driven by strong performance in the technology sector. Wall Street optimism over Meta's AI agent success fueled the broader market move.
TSMC shares climbed 0.40% while MediaTek surged 7.88% during the session. Delta Electronics also gained 2.67% as investors rotated into hardware plays. These three semiconductor giants hold the largest market capitalizations in the index.
Semiconductors dominate market composition
Technology stocks represent approximately 88% of the benchmark index according to Standard Chartered. The firm notes that most of this weight comes from the semiconductor industry. This concentration amplifies the impact of global chip demand on local prices.
Taiwan produces over 90% of the world's most advanced chips. These include devices measuring 7 nanometres and smaller. This manufacturing dominance positions the island as critical to the global AI supply chain.
Market size surpasses Canada
Taiwan has overtaken Canada to become the world's sixth-largest stock market. HSBC data from May confirms this shift in global equity capitalization rankings. The index reached this new peak roughly three months after its previous June record.
Export orders expected to hold
Traders await August export order data for further confirmation of demand. UOB expects the print to remain resilient at 63.0% year-over-year. This would sustain the narrative of strong AI-related demand for hardware.
