Taiwan stocks fell more than 3% intraday as escalating tensions between the US and Iran dragged down the entire AI supply chain.

Analysts said that as the Middle East conflict escalates and the AI supply chain is falling across the board, dragged down by the downturn in US tech stocks, even TSMC, which reported decent earnings the previous day, saw its decline expand. The market is closely watching its investor conference scheduled for Thursday. The Taiwan Weighted Index fell 2.69% to 44,158.04 points, with an intraday low of 3.3% at 43,874.13 points. Major stocks TSMC dropped 1.43%, while MediaTek fell 6.01%.