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Taiex Index Drops 3.6% as AI Tech Selloff Deepens
Why is the Taiex down today?
Taiwan's Taiex (^TWII) fell 3.59% to 43,307.54 on Tuesday in its seventh-biggest point drop on record, a tech selloff driven by Wall Street chip losses and worries over huge AI spending.
Key numbers
| Taiex close | 43,307.54-3.59% |
|---|---|
| Point drop | 1,612.60 points7th-biggest on record |
| US chip index (Monday) | Philadelphia Semiconductor-3.37% |
| MediaTek | NT$3,675-7.43% |
| Foreign net selling (per [1]) | NT$107.31Bmain board, Tuesday |
What happened
Taiwan's Taiex (^TWII) fell 3.59% to 43,307.54 on Tuesday in its seventh-biggest point drop on record, a tech selloff driven by Wall Street chip losses and worries over huge AI spending. The index lost 1,612.60 points, while TSMC, its biggest company, slipped only 1.5%. Smaller AI-linked names fell harder: chip designer MediaTek dropped 7.4%, power-supply maker Delta Electronics 6.3% and chip-packaging firm ASE Technology 8.6%. Overseas investors sold a net NT$107.3 billion (about US$3.3 billion) of Taiwan shares.
Why it matters
The Taiex is a closely watched gauge of AI hopes, because many Taiwanese companies make the chips and parts that go into AI data centers. Its fall shows investors are asking whether the hundreds of billions of dollars Big Tech is spending on AI will pay off. South Korea's Kospi index also fell 3.59% the same day, so the worry reached beyond Taiwan.
Who this affects
- MarketbearishHigh impact
- Investors in chip-heavy Asian stock markets took sharp losses.
- CompanybearishHigh impact
- MediaTek, Delta and ASE holders hit hard; TSMC fell less.
- CompetitorsbearishMedium impact
- Samsung and SK hynix in Korea also fell 4–5%.
- IndustrybearishMedium impact
- AI chip suppliers face doubts over their big-spending customers.
Taiex vs Kospi, Hang Seng, Shanghai Composite
| Taiex (Taiwan)^TWII | 43,307.54 | -3.59% |
|---|---|---|
| Kospi (South Korea)^KS11 | 5,648.79 | -3.59% |
| Hang Seng (Hong Kong)^HSI | 23,525.97 | +0.6% |
| Shanghai Composite000001.SS | 3,608.10 | -0.8% |
As of 2026-11-03
How we got here
Wall Street: Nasdaq fell about 1.1% and the Philadelphia chip index 3.37% on AI-spending worries.
Taiex closes at 43,307.54, down 3.59%, as AI-linked heavyweights slump.
Kospi closes at 5,648.79, down 3.59%, as foreign investors sell about 1.5 trillion won.
What to watch
- Whether the Taiex holds above 39,384, the July 29 intraday low one analyst flagged.Q4 2026
- Further moves in US chip stocks and Big Tech AI-spending updates that drove Monday's selloff.2026-11-04
- US midterm election results, with markets trading cautiously ahead of the vote.2026-11-03
Educational content only. Not investment advice.
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