Taipei, Led by a slide in both high-tech and old economy stocks and a stronger U.S. dollar, Taiwan's shares plunged by 1.33 percent on the Taiwan Stock Exchange Thursday, bucking an overnight rise on Wall Street.
The weighted index, the key barometer of the local stock market, finished 145.03 points lower to fall below the one-year moving average of 10,829, ending at 10,718.91.
Turnover totaled NT$109.76 billion (US$3.57 billion).
Losers outnumbered gainers 638 to 187, with 96 remaining unchanged.
Selling pressure by foreign institutional investors in Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker and the most heavily weighted stock on the local bourse, was heavy, pushing the shares to lose 2.3 percent to finish at NT$254.
Hon Hai Precision Industry Co., the world's largest contract electronics maker and the second most heavily weighted stock, slid 2.06 percent to NT$76.2.
Other major high-tech shares, such as United Microelectronics Corp. and MediaTek Inc., also lost momentum, sending the electronics index plummeting 1.79 percent.
Conventional economy heavyweight stocks, including Taiwan Cement Corp., Uni-President Enterprises Corp. and Far Eastern New Century Corp., also lost ground, dragging down the market.
Analyst Wang Chao-li (???) said the movement of the U.S. dollar will be worth watching and if it continues to appreciate, foreign institutional investors are expected to sell more Taiwanese shares, which will deal a further blow to the local stock market.
Source: Focus Taiwan News Channel