Taiwan Stocks Shed 1,873 Points and Close Below 40,000

Taiwan's benchmark stock index plunged nearly 9% within its first minute Friday, then clawed back much of the decline but still finished below 40,000 as chip shares came under heavy pressure.

The Taiwan Weighted Index ended at 39,701.64, down 1,873.08 points, or 4.51%. It touched 37,837.05 at its low, a drop of 8.99%, before recovering above 40,000 later in the session and reaching a high of 40,435.83.

That closing loss ranked as the index's fourth-largest by points and extended its losing streak to seven sessions. The index had fallen about 20.3% from its Oct. 6 closing peak of 49,822.55.

Taiwan Semiconductor Manufacturing Co. (TSMC) opened at the daily lower price limit and later recovered, but still finished down 4.69%. That was TSMC's second-largest closing point loss.

The move followed a drop of more than 12% in the Philadelphia Semiconductor Index in the previous U.S. session, with sharp declines also hitting markets in Japan and South Korea.