Taiwan Stock Market Plunges Over 450 Points as Oil Prices Top $100

International oil prices have surged past $100 per barrel for the second time this year, putting pressure on global inflation expectations. The move has sent shockwaves through financial markets, with major U.S. stock indices closing mostly lower overnight.

Taiwan's stock market was also heavily impacted, opening down just 52.4 points but quickly falling more than 450 points in early trading to a low of 46,725.59. The weighted index broke below the 47,000-point level, with Taiwan Semiconductor Manufacturing (2330.TW) being the primary source of downward pressure.

Despite Apple's recent launch of its first foldable smartphone, Hon Hai (2317.TW), a major contract manufacturer and supply chain partner, failed to benefit from the 'Apple glow'. ASE Technology Holding (3711.TW), Fubon Financial Holding (2881.TW), and United Microelectronics (2303.TW) were among the few stocks that bucked the downtrend.

Market analysts noted that oil prices above $100 are putting pressure on inflation expectations, with U.S. Treasury yields rising in response. The funding environment is unfavorable for high-valuation technology stocks, suggesting Taiwan's stock market may continue to consolidate lower in the near term.