Taiwan shares dive after Wall Street’s heavy losses

Taipei, Feb. 9 (CNA) Taiwan shares took a beating Friday morning following a plunge on Wall Street overnight amid rising concerns over possible higher interest rates in the United States, dealers said.

The bellwether electronics sector again led the drop of the broader market in Taiwan, with large cap stocks such as contract chipmaker Taiwan Semiconductor Manufacturing Co. (TSMC) at the forefront, dealers said.

As of 10:07 a.m., the weighted index on the Taiwan Stock Exchange had fallen 302.23 points, or 3.33 percent, to 10,226.29 on turnover of NT$65.03 billion (US$2.21). It followed a 1,033-point dive of the Dow Jones Industrial Average on Thursday.

TSMC, the most heavily weighted stock on the Taiwan market, was down 3.77 percent Friday morning at NT$229.50 with 25.30 million shares changing hands, while iPhone assembler Hon Hai Precision Industry Co., second only to TSMC in terms of market value, had dropped 2.58 percent to NT$86.70.

"Looking at the high turnover, I think investors are dumping their stocks in panic," Mega International Investment Services Corp. analyst Alex Huang said. "They got another shock from the drop on Wall Street overnight."

Source: Focus Taiwan