Weak U.S. Stocks, Heavy Losses in Taiwan Index Futures Night Session
U.S. stocks started November weakly, with funds withdrawing from technology stocks, most of the four major U.S. indexes lower and only the Dow Jones Index rising against the trend. The Dow Jones Index rose 213.67 points or 0.41% to 51,983.98 points, the Nasdaq Index fell 272.68 points or 1.07% to 25,164.32 points, the S&P 500 Index fell 38.67 points or 0.51% to 7,541.40 points, and the Philadelphia Semiconductor Index fell 360.47 points or 3.37% to 10,328.33 points. Taiwan index futures faced selling pressure in the night session, falling to a low of 44,271 points, and finally falling 917 points or 2.03% to close at 44,310 points, with TSMC futures falling NT$51 or 2.18% after hours to close at NT$2,291, dragging down the spot market open.
Taiwan Stocks Open Lower and Move Lower, All Heavyweight Stocks Fall
Taipei stocks opened today down 438.55 points at 44,481.59 points, with losses later expanding to over 600 points. As the broader market opened lower, small- and medium-sized stocks fell together, and the OTC index opened down 2.49 points at 366.75 points. Today's strong stocks with large opening volume were AUO, Fu Qiao, Innolux, PSMC, and Winbond, while weak stocks with large opening volume were Taiwan Glass, Tatung, WaveTech, EVA Airways, and China Airlines. All heavyweight stocks moved lower, with TSMC opening down NT$30 at NT$2,300, MediaTek opening down NT$10 at NT$3,960, and Delta Electronics opening down NT$35 at NT$1,320, before pulling back to the flat level.
Oil Prices Plunge, Concerns Over AI Spending Rise
U.S.-Iran negotiations have seen renewed hope of restarting, with Iranian President Pezeshkian saying the Supreme Leader has granted the government greater authority to advance peace negotiations. U.S. President Trump said in a telephone interview with Axios on Monday that he was in no hurry to decide whether to resume military action against Iran. Qatari mediators are pushing to restart direct U.S.-Iran negotiations, driving both Brent and West Texas Intermediate crude oil futures down over 7%. On the other hand, investors remain doubtful about the returns on huge artificial intelligence spending, curbing willingness to buy on dips. Oracle launched a combined 20 billion U.S. dollars in stock and bond financing, Meta is evaluating a large bond issuance, and Alphabet has also returned to the euro bond market, deepening market concerns about the financial burden and investment returns of the technology industry, making funding needs for AI investment the focus of the market.