Philadelphia Semiconductor Index Falls 2.72%; Investment Advisor: Taiwan Stocks to Consolidate After Rally
Following a 2.72% drop in the Philadelphia Semiconductor Index due to weak US chip stocks, investment advisors predict the Taiwan stock market will enter a consolidation phase after a significant rally. Major indices have pulled back from historical highs, indicating overheating.
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- 📰 Published: May 8, 2026 at 09:30
- 🔍 Collected: May 8, 2026 at 10:01 (31 min after Published)
- 🤖 AI Analyzed: May 9, 2026 at 04:11 (18h 9m after Collected)
Central News Agency
(Central News Agency reporter Wu Chia-hao, Taipei, 8th) Chip stocks cooled off, with TSMC's American Depositary Receipts (ADR) closing down 1.28%. Major US stock indices pulled back from historical highs, and the Philadelphia Semiconductor Index fell 2.72%. Investment advisors pointed out that the Taiwan stock market has surged over 10,000 points in this wave, and the positive deviation from the quarterly and annual lines is too large, which will affect the upward momentum of the index. Coupled with profit-taking pressure emerging at higher prices, the broader market will consolidate after a significant rally.
As Washington awaited Iran's response to the US proposal to end the Middle East war and reopen the Strait of Hormuz, the Dow Jones Industrial Average fell 313.62 points, or 0.63%, to close at 49596.97 points; the S&P 500 index fell 28.01 points, or 0.38%, to close at 7337.11 points; the Nasdaq index fell 32.74 points, or 0.13%, to close at 25806.20 points; and the Philadelphia Semiconductor Index plunged 311.76 points, or 2.72%, to close at 11160.99 points.
The Taiwan stock market first broke above 42000 points on the 7th, hitting a new historical high of 42156.06 points during trading, with bellwether TSMC creating a new high of NT$2345 during trading. The weighted index closed at a new high of 41933.78 points, up 794.93 points, or 1.93%, with a turnover of NT$1.194341 trillion. The three major institutional investors collectively bought NT$58.33 billion, of which dealers sold NT$4.143 billion, investment trusts bought NT$16.062 billion, and foreign and mainland investors bought NT$46.411 billion.
Regarding industry news, passive component giant Yageo announced consolidated revenue of NT$14.039 billion in April, a month-on-month increase of 3% and a year-on-year increase of 22.04%, setting a new monthly high. This was mainly due to strong inventory demand before the early May holidays and continued strong pull-in momentum from artificial intelligence (AI) related application customers.
Server giant Wiwynn announced after-tax earnings per share of NT$75.95 in the first quarter, higher than NT$52.7 in the same period last year, setting a new historical high for the same period. The company remains optimistic about the AI and data center markets.
Memory module manufacturer Transcend Information's after-tax net profit reached NT$8.122 billion in the first quarter, significantly exceeding its full-year profit of NT$5.568 billion last year, with earnings per share of NT$18.93 in the first quarter. (Edited by Yang Lan-hsuan)1150508
(Central News Agency reporter Wu Chia-hao, Taipei, 8th) Chip stocks cooled off, with TSMC's American Depositary Receipts (ADR) closing down 1.28%. Major US stock indices pulled back from historical highs, and the Philadelphia Semiconductor Index fell 2.72%. Investment advisors pointed out that the Taiwan stock market has surged over 10,000 points in this wave, and the positive deviation from the quarterly and annual lines is too large, which will affect the upward momentum of the index. Coupled with profit-taking pressure emerging at higher prices, the broader market will consolidate after a significant rally.
As Washington awaited Iran's response to the US proposal to end the Middle East war and reopen the Strait of Hormuz, the Dow Jones Industrial Average fell 313.62 points, or 0.63%, to close at 49596.97 points; the S&P 500 index fell 28.01 points, or 0.38%, to close at 7337.11 points; the Nasdaq index fell 32.74 points, or 0.13%, to close at 25806.20 points; and the Philadelphia Semiconductor Index plunged 311.76 points, or 2.72%, to close at 11160.99 points.
The Taiwan stock market first broke above 42000 points on the 7th, hitting a new historical high of 42156.06 points during trading, with bellwether TSMC creating a new high of NT$2345 during trading. The weighted index closed at a new high of 41933.78 points, up 794.93 points, or 1.93%, with a turnover of NT$1.194341 trillion. The three major institutional investors collectively bought NT$58.33 billion, of which dealers sold NT$4.143 billion, investment trusts bought NT$16.062 billion, and foreign and mainland investors bought NT$46.411 billion.
Regarding industry news, passive component giant Yageo announced consolidated revenue of NT$14.039 billion in April, a month-on-month increase of 3% and a year-on-year increase of 22.04%, setting a new monthly high. This was mainly due to strong inventory demand before the early May holidays and continued strong pull-in momentum from artificial intelligence (AI) related application customers.
Server giant Wiwynn announced after-tax earnings per share of NT$75.95 in the first quarter, higher than NT$52.7 in the same period last year, setting a new historical high for the same period. The company remains optimistic about the AI and data center markets.
Memory module manufacturer Transcend Information's after-tax net profit reached NT$8.122 billion in the first quarter, significantly exceeding its full-year profit of NT$5.568 billion last year, with earnings per share of NT$18.93 in the first quarter. (Edited by Yang Lan-hsuan)1150508