Taipei: Shares in Taiwan extended their losses Thursday, dropping over 120 points as market sentiment remained cautious ahead of an investor conference scheduled by Taiwan Semiconductor Manufacturing Co. (TSMC), dealers said. The Taiex, the weighted index on the Taiwan Stock Exchange (TWSE), ended down 129.27 points, or 0.66 percent, at 19,338.73 after moving between 19,196.47 and 19,478.00. Turnover totaled NT$251.14 billion (US$7.72 billion), compared with NT$296.55 billion a session earlier.

According to Focus Taiwan, the reduced turnover indicated that many investors stayed on the sidelines, awaiting TSMC’s results and guidance. Andy Hsu, an equity market analyst, commented on the market’s consolidation mode following a 1.96 percent plunge caused by new U.S. sanctions on chip exports to China. After the market closed, TSMC reported a net profit of NT$361.56 billion for the January-March period, showing a 60.4 percent increase from a year earlier, although first-quarter net profit fell 3.5 percent from the previous quarter due to traditional slow season effects.

TSMC, the most heavily weighted stock on the local market, lost 0.94 percent to close at NT$847.00, with its losses contributing approximately 65 points to the Taiex’s decline and affecting the electronics index, which fell 0.64 percent. Hsu noted that investor caution was also influenced by the anticipation of tariffs on semiconductors by the Trump administration.

In the semiconductor sector, MediaTek Inc. lost 1.87 percent, ASE Technology Holding Co. dropped 3.00 percent, while Alchip Technologies Inc. rose 2.07 percent. In the broader tech sector, Hon Hai Precision Industry Co. decreased by 1.10 percent, whereas Quanta Computer Inc. gained 1.32 percent.

Stocks outside the tech sector also experienced declines due to uncertainties surrounding potential tariff threats by Washington. In the old economy sector, Far Eastern New Century Corp. fell 1.38 percent, Eclat Textile Co. decreased by 3.15 percent, Uni-President Enterprises Corp. dropped 1.56 percent, and Wei Chuan Foods Corp. ended down 0.31 percent. The financial sector also saw a decline of 0.83 percent, with Cathay Financial Holding Co. losing 1.64 percent and Fubon Financial Holding Co. falling 0.62 percent.

Hsu remarked that as long as turnover remains low, it would be challenging for the Taiex to make a meaningful rebound, noting strong technical resistance ahead of 20,000 points. According to the TWSE, foreign institutional investors sold a net NT$13.62 billion worth of shares on the main board Thursday.