Weak US Tech Earnings Drag Taiwan Stocks Lower at Open
Hit by weaker-than-expected earnings from tech giants including Google, Amazon and Intel, selling pressure on US tech stocks widened, with all four major indices closing lower, also dragging down Taiwan stocks at today's open on the 30th. Taiwan stocks opened at 46139.79 points, down 228.54 points, with losses expanding thereafter, plunging over 1277 points intraday to a low of 45090.71 points, falling below the previous low again and also below the six-month moving average of about 45280 points, as market selling pressure was heavy.
Heavyweights Weaken Together, TSMC Falls NT$45
Heavyweight stocks weakened together, with TSMC opening down 35 yuan at 2380 yuan, extending losses intraday to 45 yuan to 2370 yuan. MediaTek fell 185 yuan to 3860 yuan, Hon Hai fell 4 yuan to 244 yuan, and Quanta fell 5 yuan to 313 yuan. Delta Electronics plunged 130 yuan to 1350 yuan, while Evergreen fell 1.5 yuan to 259.5 yuan, with large heavyweights generally under pressure, deepening index losses.
Panel Sector Under Pressure, AUO Plunges Over 9%
The panel sector also faced heavy selling pressure. AUO held an earnings call yesterday, reporting a Q3 loss per share of 0.33 yuan, and opened today plunging over 9% to 30.80 yuan. Innolux weakened together, falling about 8% intraday to 42.10 yuan. Both panel makers declined together, becoming one of the weakest groups on the market, showing cautious market reaction to their earnings performance.
All Four US Indices Close Lower
All four US major indices closed lower on the 29th, with the Dow Jones Industrial Average falling 132.54 points, or 0.25%, to close at 52342.56 points. The S&P 500 fell 23.59 points, or 0.30%, to close at 7720.39 points. The Nasdaq fell 365.13 points, or 1.38%, to close at 26184.72 points. The Philadelphia Semiconductor Index fell 165.80 points, or 1.42%, to close at 11518.20 points, with tech stocks the main source of pressure, in turn weighing on Taiwan electronic heavyweights.