Taiwan shares end flat amid lingering tariff concerns

Taipei, April 30 (CNA) Shares in Taiwan closed little changed Wednesday as investors remained concerned by U.S. President Donald Trump's tariff threats, especially with a possible tariff on semiconductors expected to be unveiled next week, dealers said.

The Taiex, the Taiwan Stock Exchange's benchmark weighted index, ended up 2.40 points, or 0.01 percent, at 20,235.03 after moving between 20,185.31 and 20,331.89. Turnover totaled NT$273.12 billion (US$8.53 billion).

"With turnover staying below the NT$300 billion mark, I think, caution continued to dominate today's trading, keeping the Taiex in consolidation mode as investors appeared reluctant to chase prices," Mega International Investment Services analyst Alex Huang said.

"Many investors are simply waiting for Trump's announcement on semiconductors, the backbone of Taiwan's exports," Huang said.

The bellwether electronics index fell 0.15 percent to close at 1,092.33, off a high of 1,097.58, although contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC), which has pledged to invest an additional US$100 billion in the United States, rose 0.67 percent to end at NT$908.00.

Despite TSMC's gains, many other semiconductor stocks came under pressure. IC packaging and testing services provider ASE Technology Holding Co. lost 2.17 percent to close at NT$135.50, and smartphone IC designer MediaTek Inc. fell 1.46 percent to end at NT$1,350.00.

"The tech sector has other concerns about the artificial intelligence business outlook after AI server supplier Super Micro Computer Inc. announced lower than expected preliminary quarterly results overnight," Huang said.

After the announcement, Super Micro shares on the Nasdaq plunged as much as 19 percent in after-hours trading.

Among AI related stocks, iPhone assembler and AI server supplier Hon Hai Precision Industry Co., second to TSMC in terms of market value, dropped 1.05 percent to close at NT$141.50.

Quanta Computer Inc., another AI server supplier, shed 1.65 percent to end at NT$238.50, and Wistron Corp., which also rolls out AI servers, shed 2.40 percent to close at NT$101.50.

"The silver lining was that the financial sector attracted buying to lend support to the broader market after Cathay Financial Holding Co. proposed a generous dividend policy," Huang said.

The financial sector rose 1.81 percent, with Cathay Financial, which announced a higher-than-expected cash dividend of NT$3.5 for its 2024 earnings, soaring 5.03 percent to end at NT$58.50.

Buying spread to other financial heavyweights, including Fubon Financial Holding Co., which rose 3.56 percent to close at NT$84.30, and Yuanta Financial Holding Co., which gained 2.47 percent to end at NT$31.10.

In the mixed old economy sector, textile brand Far Eastern New Century Corp. rose 1.23 percent to close at NT$32.85, while rival Makalot Industrial Co. fell 0.70 percent to end at NT$284.00.

Meanwhile, Formosa Plastics Corp. lost 1.59 percent to close at NT$34.00, and Nan Ya Plastics Corp. ended down 1.13 percent at NT$30.60.

According to the Taiwan Stock Exchange, foreign institutional investors sold a net NT$1.64 billion in shares on the market Wednesday.