Taiex posts 2nd biggest gains, up over 4% driven by tech stocks

Taipei, March 11 (CNA) Shares in Taiwan posted the second-largest daily point gains on Wednesday, as dissipating concerns over the Middle East saw the bellwether electronics sector attract strong buying, dealers said.

The Taiex, the Taiwan Stock Exchange's (TWSE) benchmark index, ended up 1,342.32 points, or 4.10 percent, at 34,114.19 after moving between 33,128.49 and 34,218.66. Turnover totaled NT$670.67 billion (US$21.12 billion).

Wednesday's gains trailed only the 1,608.27 points recorded on April 10, 2025.

"In line with other regional markets, including Tokyo and Seoul, which moved sharply higher, the Taiex also braved the political uncertainties created by the war," MasterLink Securities Tom Tang said.

"The combined gains (2,003.77 points) from Tuesday and Wednesday helped the index completely recover losses (1,489.12 points) caused by the military conflicts on Monday," Tang said. "I think many investors have left the political factors behind for now."

Tang said with the local market awash in liquidity, investors resumed their buying in large-cap tech stocks, led by contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC,), which rose 4.86 percent to close at NT$1,940.00, contributing about 720 points to the Taiex's rise and sending the electronics index up 4.86 percent.

"TSMC reported the highest February sales yesterday, reflecting robust AI demand," Tang said.

Smartphone IC designer MediaTek Inc. rose 3.52 percent to end at NT$1,765.00, IC packaging and testing service provider ASE Technology Holding Co. gained 2.98 percent to close at NT$345.50. Memory chip supplier Nanya Plastics Corp. soared 10 percent, the maximum daily increase, to end at NT$254.00.

AI server maker Hon Hai Precision Industry Co. gained 4.53 percent to close at NT$219.00, and power management solution provider Delta Electronics Inc. jumped 8,53 percent to end at NT$1,400.00.

The petrochemical industry rose 2.22 percent with Nan Ya Plastics Corp., the parent of Nanya Technology, up 6.05 percent to close at NT$82.40, and Formosa Plastics Corp. up 1.40 percent to end at NT$41.75.

TCC Group Holdings Co. added 3.09 percent to close at NT$25.00 and Universal Cement Corp. ended up 2.96 percent at NT$29.60.

The financial sector lagged behind the broader market, up only 0.74 percent. Fubon Financial Holding Co. rose 1.02 percent to close at NT$89.20, while CTBC Financial Holding Co. ended unchanged at NT$51.20.

"Technically speaking, the Taiex could face stiff resistance ahead of 35,000 points if it continues to move higher," Tang said. "A pullback is possible, but it will provide good buying opportunities."

According to the TWSE, foreign institutional investors bought a net NT$37.18 billion of shares on the main board Wednesday.