Taiwan shares soar 9.25% on news of U.S. tariff pause

Taipei, April 10 (CNA) Taiwan stocks finished up 9.25 percent Thursday, surging more than 1,600 points at the market's opening after U.S. President Donald Trump announced a 90-day pause on his steep "reciprocal" tariffs on most countries.

The Taiex index jumped 1,615.09 points to 19,006.85 at 9:05 a.m. as three heavyweight stocks -- Taiwan Semiconductor Manufacturing Co. (TSMC), Hon Hai (Foxconn) and MediaTek -- hit their limit-up prices at NT$863.00 (US$26.28), NT$123.50 and NT$1,300.00, respectively.

The market subsequently flattened out, with many stocks hitting their daily 10 percent limit-up prices, which also kept turnover relatively low at NT$197.49 billion (US$6.01 billion).

In total, 1,389 of the more than 1,870 companies listed on the Taiex and the over-the-counter (OTC) market hit their limit-up prices during the session.

Hsu I-ta (徐翊達), an investment strategist at Fubon Asset Management, said that while investors could breathe a momentary sigh of relief, the across-the-board 10 percent U.S. tariffs that were left in place would still exact a toll on Taiwan's export-driven economy.

The gains for Taiwan shares followed U.S. President Donald Trump's announcement Wednesday that he was authorizing a 90-day pause and a substantially lower tariff of 10 percent for most countries, with immediate effect.

The exception was China, he said, announcing an increased tariff of 125 percent on that country.

The announcement sent the United States markets soaring, with the S&P 500 climbing 9.5 percent in its biggest one-day rally since 2008.

In Taipei, TSMC shares rose NT$78 to NT$863.00 Thursday on the news of the tariff suspension, adding NT$2.02 trillion to the company's share value, which rebounded to NT$22.37 trillion, contributing about 628 points to the entire market.