TAIEX Rallies Ahead of Fed Rate Decision Amid Rising Oil Prices
Taiwan's benchmark stock index, the TAIEX, rebounded on Wednesday, despite overall market activity remaining subdued. Investors were awaiting the US Federal Reserve's rate decision.
The TAIEX closed up 337.41 points, or 0.74%, at 45,848.9. Turnover totaled NT$643.8 billion (US$20.3 billion), according to Taiwan Index Plus and CTEE.
Heavy-weighted stocks such as MediaTek rose 2.26% at NT$4,530 after launching its Dimensity 9600 series for AI-powered flagship smartphones using TSMC's 2-nanometer and 3-nm processes.
Optical communications stocks were among the stronger performers following Goldman Sachs' optimistic outlook on demand across the supply chain. Intelliepi, Elite Advanced Laser, and Pcl Technologies hit their daily limit-ups.
Analyst Chiang Kuo-chung noted that rising international oil prices and US Treasury yields approaching 5% have heightened expectations of a Fed rate hike, putting pressure on high-valuation stocks.