Chip Stocks Plunge 7.2%; TAIEX Slips 292 Points Below 45,000 as Foreign Investors Sell NT$73.5 Billion

Monday, November 2, 2026 Data: US close Oct 30 · Taiwan close Nov 2

The Takeaway

Chips plunge, Taiwan pares losses

US tech sold off hard again on Friday: Intel's outlook fell far short of expectations and the stock plunged 28.58%, the PHLX Semiconductor Index sank 7.2%, and the Nasdaq fell 2.86%, its worst day since June. Taiwan opened lower and was down as much as 812 points, but MediaTek turned higher after its earnings call and foreign investors bought Hon Hai heavily, so the TAIEX pared its loss to 291.69 points (−0.65%) and closed at 44,920.14, below 45,000 and down for a third straight day. Foreign investors sold for a third day, a net NT$73.52 billion today, mostly Taiwan ETFs and TSMC; investment trusts bought for a 15th straight day. With the US midterms tomorrow, the jobs report on Friday, and Fed officials openly backing more rate hikes, volatility could stay high in the near term.

Key Numbers

United States Close, Oct 30

Market	Close	Change	Note
S&P 500	7,580.07 pts	−1.82%	Its worst day since June, leaving it about 3.05% below the Oct 6 record of 7,818.93. Tech earnings revived doubts about whether AI spending will pay off, and money moved from AI-related stocks into defensive sectors.
Nasdaq Composite	25,437.00 pts	−2.86%	The weakest of the three major indexes and also its worst day since June. Intel plunged 28.58% and Reddit 29.22%; the megacap-heavy Nasdaq-100 fell 3.46%. The Nasdaq lost about 5.3% in October, its worst month since March 2025.
Dow Jones Industrials	51,770.31 pts	−1.09%	Down 572.25 points. With less tech exposure, it fell the least of the three major indexes as some money moved into more defensive sectors.
PHLX Semiconductor	10,688.80 pts	−7.20%	A one-day plunge led by Intel; Nvidia fell 4.22%, and AMD, Dell and HP dropped about 10%. TSMC's ADR fell 5.95% and ASE's ADR 11.34%, the direct reason Taiwan opened lower.
VIX	19.42 pts	+12.91%	Measures expected stock-market volatility over the next 30 days. It jumped nearly 13% in a day to just under the 20 warning line, a clear rise in market anxiety.
10-Year Treasury	4.94%	−4 bp	A second straight decline as money sought safety in Treasurys during the stock sell-off. But Fed officials backed further rate hikes the same day, so pressure on rates has not gone away.
WTI Crude	US$104.12/bbl	+2.08%	Rebounded after a tanker in the Strait of Hormuz was hit by limpet mines, the first successful attack of its kind since the war began. Brent settled at US$113.43, up 2.37%.
Gold (Dec)	US$3,898.90/oz	−3.30%	A third straight decline; it fell 3.3% in a day, broke below $4,000 and settled at a one-year low. The US dollar index slipped 0.12% to 101.92.

Taiwan Close, Nov 2

Market	Close	Change	Note
TAIEX	44,920.14 pts	−291.69 pts (−0.65%)	After the SOX sank 7.2% and TSMC's ADR fell 5.95%, TAIEX futures dropped 867 points in the night session. The index opened 177 points lower and fell as much as 812.73 points to a low of 44,399.10. MediaTek, Hon Hai and Delta then turned higher, and the loss narrowed to under 300 points. TSMC was the biggest drag: semiconductors fell 1.26% and financials 1.00%, while oil and gas rose 4.26% and electrical cable 3.26%; the non-electronics index slipped only 0.02%. Among listed stocks, 518 rose and 447 fell, a fairly even split. Down three days in a row for a combined 2,115 points, it closed below every October close, about 9.8% below the Oct 6 high of 49,822.55.
TPEx (OTC) Index	369.24 pts	−1.02 pts (−0.28%)	Made up mostly of small and mid caps. It hit an intraday low of 362.18 but recovered most of the loss by the close, falling less than the main board. Down three days in a row, it set another new closing low since the start of October, about 14.6% below the Oct 5 high of 432.48.
Yuanta Taiwan Top 50 ETF (0050)	NT$104.10	−NT$0.85 (−0.81%)	Taiwan's best-known ETF, tracking the 50 largest listed companies. Foreign investors sold a net 31,000 lots (98,000 the day before) and proprietary dealers 55,000, while investment trusts bought 5,800. Volume of 161,000 lots was down from 227,000. It opened at NT$103.40, hit a low of NT$103.05 and recovered late. Down three days in a row, it closed at its lowest since the start of October, about 10.6% below the Oct 6 high of NT$116.50.
Turnover	NT$789.53B		Down about 16% from the previous session's NT$939.61B per TWSE statistics, plus NT$154.82B on the OTC market. The index fell on lighter volume, so selling eased from Friday. Some news reports after the close gave NT$758.88B, which differs from TWSE's statistics; this table uses TWSE's figure.
TSMC (2330)	NT$2,330	−NT$40 (−1.69%)	Taiwan's biggest drag today. After the SOX plunge and a 5.95% drop in its ADR, it opened at the day's low of NT$2,310 and recovered slightly, falling far less than the ADR. Foreign investors sold a net 15,000 lots, up from 8,633 the day before, while investment trusts bought 3,579. Volume of 39,000 lots was the heaviest in two weeks. Down three days in a row, it closed at its lowest since the start of October, about 9.9% below the Oct 6 high of NT$2,585.
MediaTek (2454)	NT$3,970	+NT$55 (+1.40%)	Taiwan's top chip designer. It fell as low as NT$3,790 at the open, then turned higher and reached NT$4,070 intraday. The reason was Friday's earnings call: the company confirmed its first AI accelerator has started shipping, that it has won a second cloud customer, and guided fourth-quarter revenue up 25% to 32% from the third quarter. Worries about delays in its AI chip project eased, and a US brokerage reiterated a positive view. Foreign investors still sold a net 2,880 lots; the buying came mainly from investment trusts (1,623 lots). It ended a two-day decline but remains below its Oct 29 close of NT$4,045 and about 23% below the Oct 5 high of NT$5,165.
Hon Hai / Foxconn (2317)	NT$251	+NT$5.50 (+2.24%)	The world's largest electronics contract manufacturer and a major AI server assembler. No company-specific news found; the buying came from foreign investors, who swung from selling 3,393 lots the day before to buying 24,000, the second-largest foreign purchase of any stock today, while investment trusts bought 946. Volume of 50,000 lots was about 1.5 times the day before. It opened at NT$244.50, dipped to NT$242.50 and then turned higher against the market. All of October it closed between NT$239.50 and NT$256; today it moved back into the upper half of that range.
Delta Electronics (2308)	NT$1,355	+NT$20 (+1.50%)	Power and cooling maker. After hitting limit down on Friday over an inventory write-down at its Thai subsidiary, it opened another 6.0% lower at NT$1,255 today, then climbed steadily to close higher, a NT$110 intraday swing. No new company-specific news found; foreign selling shrank to 2,666 lots (11,000 the day before) and investment trusts bought 901. It ended a two-day slide but remains near its October lows, about 34% below the Oct 6 high of NT$2,050.
Formosa Petrochemical (6505)	NT$103	+NT$4.70 (+4.78%)	Taiwan's largest private oil refiner. After the Hormuz tanker attack and a 2.08% rise in WTI crude overnight, the oil and gas sub-index rose 4.26%, the best-performing sector. It opened at NT$96.30 and closed near the day's high of NT$104.50. The buying came mainly from investment trusts (1,065 lots), while foreign investors sold 1,899. It ended a five-day losing streak but is still about 16% below the Oct 16 high of NT$122.50.
Holy Stone (3026)	NT$637	−NT$70 (−9.90%)	Passive-component (capacitor) maker, limit down. No company-specific news found; it fell with the passive-component group, as Walsin Technology dropped 6.56% and Yageo 0.70%. It opened at NT$680, slid all day and closed at the low. Volume of 14,000 lots was about 2.4 times the day before; foreign investors bought 1,730 lots and investment trusts sold 964. Down two days for a combined NT$130, it closed at its lowest since the start of October, about 27% below the Oct 8 high of NT$877.

Units: indexes in points; US prices in US dollars (US$); Taiwan prices and amounts in New Taiwan dollars (NT$).

Six Market Signals

TrendWeakening

Taiwan fell for a third day, down a combined 2,115 points, lost the 45,000 level and is nearly 10% below its October high. In the US, the S&P 500 and Nasdaq both had their worst days since June.

Fund flowsForeign selling

Foreign investors sold for a third straight day, a net NT$73.52 billion today, smaller than Friday's NT$112.47 billion. Investment trusts bought for a 15th straight day, NT$36.12 billion today.

RatesHike pressure

The 10-year Treasury yield fell 4 bp to 4.94%. But St. Louis Fed President Musalem and Dallas Fed President Logan both backed further hikes, and markets see about a 76% chance of a December hike.

ConcentrationHigh

The SOX fell 7.2% while the Dow fell only 1.09%. In Taiwan, semiconductors fell 1.26%, the non-electronics index was nearly flat and oil and gas rose 4.26%, so the selling was concentrated in chip stocks.

GeopoliticsElevated

A tanker in the Strait of Hormuz was hit by limpet mines. Iran said three tankers struck mines and caught fire; US Central Command said the main shipping lanes have been cleared of mines. Qatari mediators returned to Tehran.

InflationSticky

The US third-quarter Employment Cost Index rose 0.8% for the quarter and 3.4% from a year earlier, so wage growth remains firm; crude is back at $104 a barrel.

Taiwan in Focus

Institutional net buying and selling Nov 2

Investor group	Net	Note
Foreign investors	−NT$73.52B	Third straight day of selling, about 35% less than Friday. The biggest sales were Taiwan ETFs: CTBC Taiwan Income active ETF (110,000 lots) and 0050 (31,000 lots); among individual stocks, PSMC (16,000 lots) and TSMC (15,000 lots) led. The biggest purchases were Innolux (27,000 lots), Hon Hai (24,000 lots) and China Airlines (18,000 lots)
Investment trusts	+NT$36.12B	15th straight day of net buying, since Oct 8, and more than Friday's NT$23.99B. The biggest purchases were financials such as Taishin Shin Kong, CTBC and SinoPac, plus 0050
Proprietary dealers	−NT$15.29B	Mostly from hedging positions (−NT$15.75B); own-account trading was a net purchase of NT$0.47B
Total	−NT$52.69B	Per TWSE statistics; much smaller than Friday's NT$139.84B

SOX sinks 7.2%, but Taiwan pares its early losses

US chip stocks plunged on Friday: TSMC's ADR fell 5.95%, ASE's ADR 11.34%, and TAIEX futures dropped 867 points in the night session. Taiwan opened lower and was down as much as 812 points, but the losses narrowed through the afternoon and the index closed down just 291.69 points. Taiwan had already fallen 1,156 points on Friday, and MediaTek, Hon Hai and Delta turned higher to support the market, so advancers slightly outnumbered decliners among listed stocks. Still, TSMC fell 1.69%, foreign investors kept selling, and the index lost the 45,000 level.

▼ Semiconductors▼ Chip packaging and testing

MediaTek turns higher after its call: AI accelerator shipping, second cloud customer

At Friday's earnings call, MediaTek reported third-quarter EPS of NT$17.50, guided fourth-quarter revenue up 25% to 32% from the third quarter, and confirmed that its first AI accelerator has started shipping and that it has won a second cloud customer, with its second-generation product still on track for mass production in the first quarter of 2028. Investors had worried about delays in its AI chip project; those concerns eased, and the stock swung from a 3.2% loss at the open to a 1.40% gain at the close.

▲ Chip design▲ Custom AI chips

Oil and panel stocks rise; passive components keep falling

With oil back at $104 a barrel, the oil and gas sub-index rose 4.26% and Formosa Petrochemical gained 4.78%. Foreign investors' largest single-stock purchase today was panel maker Innolux (27,000 lots), and they also bought 12,000 lots of AUO; the optoelectronics sub-index rose 1.26%. Passive components extended last week's slide: Holy Stone hit limit down and Walsin Technology fell 6.56%, with no company-specific negative news found.

▲ Refining▲ Display panels▼ Passive components

US and Global News

Intel plunges 28.58%, its worst day since 1974

Intel's fourth-quarter outlook calls for revenue of $15 billion to $16 billion, below the third quarter, and adjusted EPS of $0.25, far below the $0.43 expected; it also guided adjusted gross margin down from 44.1% to 38.0%. The CFO said PC weakness will last at least through the first half of next year. Data center and AI revenue, however, rose 78%, so the problem is mainly PCs. AMD, Dell and HP also fell about 10% that day.

▼ PCs▼ Semiconductors▲ AI data centers

Amazon pares a steep early drop; Reddit falls nearly 30%

Amazon's third-quarter sales rose 12% to $201.9 billion and AWS grew 39%, but EPS of $1.89 missed estimates and trailing 12-month free cash flow was negative $42.4 billion. The stock fell about 7% before the open but closed down only 1.41%. Social platform Reddit fell 29.22% after its results. The Nasdaq lost about 5.3% in October.

▲ Cloud▼ E-commerce▼ Social media

Labor costs stay firm as Fed officials back more hikes

The US third-quarter Employment Cost Index rose 0.8% for the quarter and 3.4% from a year earlier, with no clear slowdown in wage growth. St. Louis Fed President Musalem said further tightening is needed, and Dallas Fed President Logan said the Fed needs at least two more quarter-point hikes. The Chicago PMI fell from 58.8 to 55.3 but remains in expansion. Markets see about a 76% chance of a December hike.

▲ Banks▼ Richly valued growth▼ Real estate

Hormuz tanker hit by mines; oil rebounds

The UK Maritime Trade Operations agency reported that a small boat attached two explosive devices to a tanker in the Strait of Hormuz, starting an engine-room fire, the first successful attack of its kind since the war began. Iran said three tankers struck mines and caught fire, while US Central Command said the main shipping lanes have been cleared of mines. Qatari mediators also returned to Tehran to push for a US-Iran deal. WTI crude rose 2.08% to $104.12 a barrel.

▲ Energy▲ Defense▼ Airlines

▲▼ show the direction in which a story usually affects a sector, not a forecast of where prices will go.

The US–Taiwan Link: The SOX Fell 7.2%, So Why Did Taiwan Fall Only 0.65%?

Friday's SOX plunge came mostly from Intel, and Intel's problem is weaker PC demand; its data center and AI revenue actually rose 78%. In Taiwan, the most direct impact falls on PC brands and contract manufacturers, while demand for AI servers and AI chips has not weakened, and MediaTek's call confirmed its AI accelerator has begun shipping. Taiwan had also already fallen 1,156 points on Friday, so part of the bad news was priced in. Together, these kept today's decline far smaller than in US chip stocks. Still, foreign investors sold for a third day and TSMC was among their largest sales, a sign that their cautious stance on semiconductors has not changed, and Taiwan is likely to keep swinging with US tech.

What's Next US Eastern Time

Tue Nov 3US midterm electionsCould shift fiscal policy and the path of military action against Iran; results come in overnight into Wednesday, Taiwan time

Fri Nov 6, 8:30 AMUS October jobs reportSeptember added only 29,000 jobs; another weak print would stoke recession fears, while a strong one would add to rate-hike pressure

By Tue Nov 10Taiwan October sales reportsTaiwan-listed companies report monthly revenue by the 10th, a check on whether AI supply-chain orders are still growing

Wed Dec 9, 2:00 PMFOMC decisionMarkets see about a 76% chance of a hike

Useful Links Official sources to check the data yourself

This brief summarizes publicly available market data and news for informational purposes only. It is not investment advice and does not recommend buying or selling any security. Companies are mentioned only to illustrate industry trends. Closing figures may differ slightly between data sources.

Sources Taiwan Stock Exchange — Daily market statistics (TAIEX, turnover) Taiwan Stock Exchange — Daily close: sector indexes, advancers and decliners Taiwan Stock Exchange — Institutional trading value statistics (Nov 2) Taiwan Stock Exchange — Institutional net buying by stock (Oct 30, Nov 2) Taiwan Stock Exchange — Daily trading for 0050, TSMC, MediaTek, Hon Hai, Delta, Formosa Petrochemical and Holy Stone Taipei Exchange (TPEx) — OTC index and turnover Anue (cnyes) — TAIEX falls 292 points and loses 45,000 to start November United Daily News — MediaTek and Hon Hai turn higher as TAIEX pares losses United Daily News — Foreign brokerage reiterates positive view on MediaTek Storm Media — MediaTek turns higher as ASIC delay worries ease ETtoday — TAIEX closes down 291 points; TSMC at NT$2,330 Capp Notes — Closing Look, Oct 30, 2026 Stock Titan — Stock Market Today, Oct 30, 2026 AP (Yahoo Finance) — How major US stock indexes fared, Oct 30, 2026 US Bureau of Labor Statistics — Employment Cost Index, September 2026 Intel — Third-Quarter 2026 Financial Results The Maritime Executive — Oman evacuates tanker crew as Iran claims new attacks Gulf News — Iran pushes "sea mines" story after Hormuz tanker attack