Taiwan stock market suffers worst intraday drop in history amid pandemic fears

13-May-2021 Intellasia | TaiwanNews | 5:02 AM Print This Post

Taiwan’s stock market dropped by well over 1,000 points on Wednesday morning (May 12), setting a new intraday trading record amid comments by the Central Epidemic Command centre (CECC) head that the local coronavirus outbreak is worsening and a Level 3 alert could be implemented within days.

On Wednesday morning, Health and Welfare minister and CECC head Chen Shih-chung told the media that the epidemic in Taiwan has reached a “very severe stage.” He also stated that Taiwan’s epidemic warning could be raised to Level 3 in “the coming days.”

Taiwan’s stocks continued their downward trend from the previous day, which saw news of seven local COVID-19 cases and Chen’s declaration that Taiwan had entered the community transmission stage. The index fell by more than 1,000 points in early trading.

By 11:20 a.m., the decline expanded as it broke the 15,200 barrier and plunged by 1,417.86 points, a new intraday trading record decline, according to CNA. Electronics, finance, and traditional industry stocks fell across the board, with only epidemic prevention firms in positive territory.

Chip giant TSMC’s stock price at one stage plummeted to NT$518 (US$18.48), a sharp drop of NT$53 yuan which was a decrease of 9.28 percent, and its market value shrank by NT$1.37 trillion to NT$13.43 trillion, affecting the broader market index by nearly 450 points. Foxconn’s share price fell below the NT$100 mark in intraday trading, with it dropping to as low as NT$96.5.

MediaTek’s stock price also fell by NT$90 down to NT$821. Overall, the electronics stock index fell by 8.65 percent.

 

Category: Taiwan

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