Taiwan’s TAIEX Rebounds Over 1.5% Amid Global AI Rally

By / / Breaking News

This update was written automatically with AI from market data and news wire reports, and published without review by a person.

Key Takeaways

  • The TAIEX surged over 1.5% on Wednesday, recovering from recent volatility to approach the 47,000-point threshold as global optimism for artificial intelligence (AI) returned.
  • Taiwan Semiconductor Manufacturing Co. (TSM) gained 1.3%, fueled by strong demand for advanced semiconductor nodes and specialized packaging.
  • MediaTek (2454.TW) staged a massive recovery, jumping nearly 6% to reclaim the NT$4,100 level after a significant monthly correction.
  • Positive regional sentiment was bolstered by blockbuster earnings from South Korea’s SK Hynix, which reported a sevenfold jump in profit, lifting the broader Asian technology sector.

The Taiwan Stock Exchange Capitalization Weighted Index (TAIEX) climbed sharply on Wednesday, October 28, 2026, tracking a tech-led rally on Wall Street. The benchmark index rose as much as 1.6% during the session, reaching an intraday peak of 46,949.98. This rebound follows a period of intense volatility where the market fluctuated by over 900 points in a single day earlier in the week.

Taiwan Semiconductor Manufacturing Co. (TSM), the world’s largest contract chipmaker, provided the primary lift for the index. Shares of the foundry giant rose 1.3% to NT$2,430 as investors reacted to news that the company is considering price hikes for its CoWoS advanced packaging technology. Market analysts suggest that relentless demand for AI-driven high-performance computing (HPC) continues to outpace supply, supporting TSMC’s premium valuation.

MediaTek (2454.TW) was among the top performers, surging 5.93% to end at NT$4,195. The IC design leader had recently faced a 27% decline over the past month, falling below the NT$4,000 psychological support level. The recovery comes ahead of a highly anticipated investor conference scheduled for October 30, where the company is expected to detail its custom-chip prospects and AI integration strategies.

The broader electronics and memory sectors also saw significant catch-up buying. Nanya Technology (2408.TW) gained 6.52%, while Winbond Electronics (2344.TW) rose 5.5%. Sentiment was further buoyed by comments from Nvidia (NVDA) CEO Jensen Huang, who indicated that memory supply is unlikely to meet global demand until at least 2029, reinforcing the long-term growth thesis for the semiconductor supply chain.

Despite the daily gains, the market remains cautious as the U.S. Federal Reserve prepares to announce its latest monetary policy decision. Additionally, the Central Bank of the Republic of China (Taiwan) reported that foreign institutional investors have withdrawn approximately US$54.3 billion from the local market since July. This persistent capital outflow has placed downward pressure on the New Taiwan Dollar, which has depreciated roughly 2% against the greenback in the same period.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. We are not financial professionals. The authors and/or site operators may hold positions in the companies or assets mentioned. Always do your own research before making financial decisions.
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