The inventory market in Taiwan seesawed this week, plummeting on the tariff information earlier than rebounding strongly after U.S. President Donald Trump put a pause on the tariffs.
In an announcement, Taiwan’s Monetary Supervisory Fee stated the market stabilisation measures on short-selling of shares had “certainly had the anticipated impact of successfully curbing speculative promoting”.
Whereas investor confidence has been progressively restored, the U.S. tariff coverage and responses by different international locations are nonetheless extremely unsure within the brief time period, it added.
World inventory market fluctuations are more likely to hold affecting Taiwan’s inventory market, the regulator stated.
Final week Taiwan additionally activated its $15-billion inventory stabilisation fund to prop up the market. The island’s benchmark inventory index has dropped 15% to date this yr. Quick sellers borrow shares they count on to fall, aiming to repay the mortgage for much less later to pocket the distinction.
