Taiwan weighted stock index closes up 0.7% at 22,693.25

Taiwan weighted stock index closes up 0.7% at 22,693.25

The Taiwan Stock Exchange (TSE) closed with a 0.7% gain on July 2, 2025, with the Taiwan Weighted Stock Index (TWII) rising to 22,693.25. The index, which tracks the performance of the largest companies listed on the TSE, was bolstered by positive global market sentiment and encouraging U.S. employment data [2].

The TSE's performance follows three consecutive days of upward movement, with the index gaining more than 450 points or 2% [2]. This upward trend was driven by gains in the technology and plastics sectors, while financial stocks remained mixed [2]. Key contributors to the index's performance included Taiwan Semiconductor Manufacturing Company (TSMC), which rose 0.93%, and MediaTek Inc., which surged 6.69% [3].

Global market sentiment was positive, with the European and U.S. markets opening higher on Thursday and the Asian bourses expected to follow suit [2]. The TSE's gains were also supported by a positive outlook for the Asian markets, with technology stocks expected to lead the way [4]. The Dow Jones Industrial Average (DJIA) and the NASDAQ Composite Index both ended the day with modest gains, reflecting optimism about a potential trade deal between the U.S. and the European Union [4].

Institutional investors also played a role in the TSE's performance. Ninety One UK Ltd. trimmed its stake in TSMC by 26.1% during the first quarter, while other institutional investors added to their stakes in TSMC [5]. This indicates continued investor confidence in the semiconductor sector, which has been a key driver of the TSE's performance.

Looking ahead, the TSE may face challenges related to the Trump administration's tariff policies, which have been a source of concern for investors [3]. However, the electronics sector's rebound, led by TSMC and other semiconductor giants, has helped the index return to positive territory [3]. The TSE's performance may also be influenced by the Federal Reserve's monetary policy decisions and global economic trends.

References:
[1] https://finance.yahoo.com/quote/%5ETWII/
[2] https://www.nasdaq.com/articles/taiwan-stock-market-expected-open-upside-friday
[3] https://focustaiwan.tw/business/202507090015
[4] https://www.rttnews.com/3552065/tech-shares-may-boost-taiwan-stock-market.aspx
[5] https://www.marketbeat.com/instant-alerts/filing-ninety-one-uk-ltd-cuts-stock-position-in-taiwan-semiconductor-manufacturing-company-ltd-nysetsm-2025-07-08/