TAIEX jumps 3.62% to 44,257.15 points at close on November 11
Key Facts
Taiwan's TAIEX index ended Wednesday's November 11 session up 1,545.23 points, or 3.62%, closing at 44,257.15 points, according to Taiwan's Central News Agency, Focus Taiwan. Trading value during the session reached 849.17 billion Taiwan dollars. The close was above the reading cited in an Associated Press report during trading, which said the index was up 2.1%. The report described Taiwan as leading regional markets at the time of publication. The closing figure confirms the session's full gains, after the index was still trading when the earlier report was published.
The TAIEX advance coincided with gains in other Asian markets. The Associated Press reported that Asian stocks were mostly higher on Wednesday after Wall Street declined. The report said U.S. inflation in October came in higher than expected, weighing on the region's trading backdrop. In Japan, the Nikkei 225 rose 0.8% to 60,942.48 points at the time the report was published. These figures show that Taiwan's advance came during a broadly positive regional session, although the TAIEX's final reading was above the gain recorded by the report during trading. The report did not give a final closing reading for the Taiwanese index.
TSMC, the maker of artificial intelligence chips, stood out among the shares supporting the market during the session, rising 3.1% at the time of the Associated Press report. The report linked the gain to the company's announcement that October revenue was nearly six times its level in the same month a year earlier. This puts the stock's performance in the context of strong demand tied to semiconductors and artificial intelligence, as described in the report. The October revenue figure in the story refers to the company and its year-on-year comparison, while the share gain refers to its trading on November 11. The report does not detail the stock's contribution to the TAIEX's point gain at the close.
Wednesday's session followed two days of strong gains in Taiwan. On Tuesday, November 10, the TAIEX rose 1,050.22 points, or 2.52%, to close at 42,711.92 points, after gaining 4.94% on Monday, November 9. Trading value on Tuesday reached one trillion Taiwan dollars, compared with 849.17 billion Taiwan dollars in Wednesday's session. Monday's gain was 1,960.06 points, or 4.94%, taking the index to 41,661.70 points at the close. These moves put Wednesday's gain within a three-session rally, according to closing figures reported by Focus Taiwan.
Traders attributed Tuesday's gains to overnight advances on Wall Street and a decline in oil prices that eased inflation concerns. An analyst said Taiwanese stocks linked to artificial intelligence continued to rise as signs emerged that artificial intelligence-related stocks overseas were stabilizing. In explaining the gains, the analyst cited a 2.74% rise in the Nasdaq and a 6.85% gain in the Philadelphia Semiconductor Index on Monday, despite Nvidia shares falling 4.27% in the same session. These explanations covered Tuesday's session and its backdrop, while the closing source offered no similar explanation for Wednesday's gain. An analyst also said on November 9 that the government's pledge to intervene in the market improved investor sentiment and encouraged buying on dips.
The government's pledge to intervene came after the National Financial Stabilization Fund committee authorized market intervention on Friday, following heavy losses, according to Focus Taiwan's report on the November 9 session. On that day, the TAIEX jumped 4.94%, the same percentage gain the report recorded for Monday. The analyst said investors were watching U.S. consumer-price data for clues on the Federal Reserve's direction. The Associated Press reported that U.S. inflation rising above expectations in October could lead the U.S. central bank to raise its key interest rate at its next meeting in December. Inflation data and the U.S. interest-rate path therefore remained among the factors cited in reports as investors followed the markets.