Taiwan shares set new high, led by TSMC

Taipei, April 15 (CNA) Shares in Taiwan closed at a fresh high Wednesday, led by contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC) amid optimism over a new round of U.S.-Iran peace negotiations, dealers said.

The Taiex, the Taiwan Stock Exchange's benchmark index, ended up 426.02 points, or 1.17 percent, at 36,722.14 after moving between 36,369.11 and 37,064.16. Turnover totaled NT$982.01 billion (US$31.05 billion).

The market opened 73 points higher and hit the day's high at around 10:20 a.m., as TSMC smashed its intraday high.

The early momentum was driven by hints from U.S. President Donald Trump that U.S.-Iran negotiations would resume in Pakistan over the next two days, analysts said.

But after the Taiex briefly breached 37,000 points, profit-taking emerged to limit the upturn.

"The index had posted significant gains in recent sessions. I'm not surprised that some investors pocketed their gains," Concord Securities analyst Kerry Huang said.

"But sentiment improved on positive developments in the Middle East, helping the Taiex still end at another high."

Huang said buying continued to focus on AI-related stocks, with TSMC in focus.

After its ADR rose 2.79 percent overnight, TSMC, which accounts for over 40 percent of total market value, closed up 1.22 percent at NT$2,080.00. TSMC's gains contributed about 200 points to the Taiex's rise.

"The interest in TSMC also reflected optimism about rising demand for AI-chips amid increasing needs for computing," Huang said. "Many investors expected that TSMC will deliver positive leads at its investor conference tomorrow."

Buying also spread to other semiconductor heavyweights, with smartphone IC designer MediaTek Inc. up 4.07 percent to close at NT$1,790.00 and IC packaging and testing service firm ASE Technology Holding Co. up 5.31 percent to end at NT$446.50.

Also in the tech sector, power management solution provider Delta Electronics Inc. rose 2.00 percent to close at NT$1,785.00, while AI server maker and iPhone assembler Hon Hai Precision Industry Co. ended unchanged at NT$207.50.

Outside the tech sector, a fall in international crude oil prices amid hopes of successful peace talks in the Middle East pushed down the petrochemical index by 1.28 percent.

Formosa Plastics Corp. lost 3.68 percent to close at NT$52.30, and Formosa Chemicals & Fibre Corp. plunged 7.69 percent to end at NT$50.40.

Selling also affected other raw material stocks. China Steel Corp., Taiwan's biggest steel maker, fell 1.95 percent to close at NT$20.10, and Tung Ho Steel Corp. shed 0.71 percent to end at NT$70.20.

In the financial sector, Cathay Financial Holding Co. rose 0.23 percent to close at NT$72.90, while Fubon Financial Holding Co. ended down 0.11 percent at NT$87.50.

According to the Taiwan Stock Exchange, foreign institutional investors bought a net NT$55.71 billion in shares Wednesday.