The government says it is confident that the TAIEX or the Taiwan Stock Exchange will pass the 10,000 mark again. That’s the word from Cabinet spokeswoman Kolas Yotaka on Thursday.
Kolas made the statement after the TAIEX plunged over 500 points after the market opened. She called on investors to remain calm, adding that the government is closely monitoring the market.
Finance Minister Su Jain-rong said the plunge is due to economic factors.
“The conditions for the National Stabilization Fund to enter the market are very strict. That is, basically, the outflows of foreign investment are caused by non-economic factors in the international community. There has been no major and visible impact of non-economic factors on the [market]. Under these circumstances, we will be closely monitoring the situation," said Su.
The finance ministry and the Financial Supervisory Commission both said Taiwan’s economy is pretty good though short-term turbulence of the stock market is unavoidable.
Taiwan shares closed 6.31% lower on Thursday. The TAIEX dropped 660.72 points to close at 9,806.11 points.