Foreign Investors Sell Record NT$93.8 Billion in Taiwan Stocks, 4th Largest Ever

Taiwan's stock market experienced a severe downturn on Monday, June 8, 2026, with foreign investors offloading shares worth NT$93.85 billion (approximately $2.9 billion USD), marking the fourth-largest single-day sell-off by foreign capital in the island's history. The main Taiex index plummeted by 1,568.16 points by the close, its third-largest point drop ever, after briefly plunging as much as 2,694 points intraday.

Cathay Financial Holding (2883) was a major target, with foreign investors selling over 108,000 shares, contributing to a 3.08% drop in its stock price to NT$26.75. This significant sell-off impacted the company's 740,000 shareholders, who saw their investments diminish. Other heavily sold stocks by foreign investors included Fubon Financial Holding (2881), Far Eastern New Century (1402), and China Steel (2002).

The broader Asian markets also suffered heavily, with South Korea's KOSPI index plummeting over 8% and Japan's Nikkei 225 falling by more than 2,500 points. The sell-off was reportedly triggered by better-than-expected U.S. non-farm payroll data, which fueled concerns about the U.S. Federal Reserve potentially raising interest rates. This led to a broad market correction, with high-value tech stocks like TSMC also experiencing declines, although their losses narrowed by the end of the trading day.

Analysts are closely watching the market's reaction to upcoming economic indicators, including inflation data, while also noting that the long-term trend for the Artificial Intelligence (AI) sector remains positive despite the current volatility. The significant foreign sell-off underscores the sensitivity of Taiwan's market to global capital flows and macroeconomic shifts.