News / Taiwan / economic_daily
Taiwan Stocks Hold Monthly Support Amidst TSMC, MediaTek Revenue Gains and Macro Headwinds
Electronic Technology · Semiconductors · economic_daily · 2026-09-11
Despite record-breaking August revenues from TSMC and MediaTek, the Taiwan stock market faces pressure from rising oil prices and surging US Treasury yields.
What Happened
Strong Revenue Growth for Tech Giants: TSMC reported a record-breaking August revenue of 514.8 billion TWD, driven by robust demand for AI and high-performance computing. Similarly, MediaTek achieved a new monthly revenue high and is preparing to launch its 2nm Dimensity 9600 series to capture the premium smartphone and data center markets.
Macroeconomic Headwinds: Escalating tensions in the Middle East have pushed oil prices above 100 USD per barrel, fueling inflation concerns and driving up US Treasury yields. Disappointing results from the US Treasury’s long-term bond auction further dampened investor sentiment, leading to a pullback in US equity indices and affecting the Taiwan market.
Market Technicals and Institutional Activity: The Taiwan Weighted Index closed lower but managed to maintain support above the 10-day moving average, indicating a range-bound consolidation phase. Institutional investors were net sellers, with foreign investors increasing their net short positions in index futures, reflecting a cautious outlook among market participants.
Outlook and Investment Strategy: While fundamental indicators like export growth remain positive, investors should remain vigilant against external volatility from the US and energy markets. The recommended strategy is to avoid chasing highs and focus on accumulating large-cap AI stocks with high liquidity, while monitoring long-term sectors like semiconductor equipment and high-dividend financial stocks.