Taiwan's main index took its steepest fall in almost seven weeks amid concern the 15 percent rally of electronics shares as a group since early August can't be justified by earnings growth. Taiwan Semiconductor Manu-facturing Co (TSMC) led the fall.
The benchmark TWSE Index slumped 184.52, or 2.3 percent, to 7,945.76, its biggest drop since July 27. Some 358 shares fell, 100 gained and 71 were unchanged. Trade was 6.2 percent below its three-month daily average at NT$127.8 billion.
"Some investors fret the gain was too much, too fast," said Leo Chang, who manages NT$700 million for Fubon Securities Investment Trust Co.
"In the longer term, though, we're still bullish about the market because of the growing economy," he said.
The finance ministry said yesterday that Taiwan's exports in August jumped 11.4 percent from a year ago to US$10.73 billion, fueled by stronger demand from Japan, South Korea and other Asian neighbors.
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