TSMC Rises 0.81% as Taipei Index Climbs 1.14% on AI Demand
Taiwan’s TAIEX index gained 1.14% to 47,718.84, driven by semiconductor strength and positive US-China trade signals.
Key points
- TSMC closed at NT$2,480, up 0.81%, while the TAIEX index rose 1.14% to 47,718.84.
- MediaTek gained 6.37% on ASIC development prospects, and main board turnover hit NT$820.22 billion.
- US-China trade talks concluded positively, and Brent crude fell 2.5% to US$101.31 per barrel.
The TAIEX index closed at 47,718.84, marking a gain of 538.09 points or 1.14 percent, as buying activity accelerated across the tech sector. Market turnover on the local main board reached NT$820.22 billion, reflecting heightened liquidity amid renewed investor interest in artificial intelligence infrastructure.
Taiwan Semiconductor Manufacturing Co (TSMC) led the advance, closing at NT$2,480 with a 0.81 percent increase. The rally was supported by sustained capital inflows from major cloud service providers into AI hardware, a trend that persisted despite the US Federal Reserve hinting at further rate hikes this year.
Semiconductor Stocks Lead Broad Market Gains
Chip designer MediaTek Inc surged 6.37 percent to finish at NT$5,010, benefiting from optimism over its application-specific integrated circuit (ASIC) development strategy. This performance mirrored a broader sectoral shift, where AI-specific hardware designs are increasingly viewed as critical growth drivers.
AIchip Technologies Ltd also posted a gain of 3.53 percent, closing at NT$3,665. Concurrently, the financial sector strengthened on the expectation that higher interest rates would boost net interest income, with Fubon Financial Holding rising 2.66 percent and Cathay Financial Holding up 2.26 percent.
Trade Talks and Oil Prices Support Sentiment
Positive signals from weekend talks between US and Chinese officials further bolstered market confidence. US Treasury Secretary Scott Bessent described recent engagements with Chinese Vice Premier He Lifeng as successful, paving the way for a summit between President Donald Trump and President Xi Jinping.
Global energy markets also contributed to a favorable environment, with Brent crude falling 2.5 percent to US$101.31 per barrel. This decline, attributed to improved vessel traffic through the Strait of Hormuz, reduced input cost pressures and supported broader equity sentiment, according to reports from the Taipei Times.
Micron Union Rejects One-Time Payout Proposal
In a separate labor development, the workers’ union at Micron Technology’s Taiwan facility rejected a unilateral one-time payout offer. Union head Jerry Lin stated that the company’s proposal appeared intended to influence public opinion rather than resolve the underlying dispute.
The union is seeking a permanent mechanism that guarantees employees a share of 15 percent of operating profits. While negotiations continue, the rejection underscores ongoing tensions over long-term compensation structures at the memory chip manufacturer.
