Taiwan Dollar Drops to Weakest Since May on Equity Outflows

The Taiwan dollar fell for a sixth day to its weakest since May, driven by tech-heavy equity outflows.

The local dollar slid nearly 0.6% against the greenback to NT$30.48 on Thursday, according to data compiled by Bloomberg. With its 3.5% decline, the Taiwan dollar is the worst performer among the world’s major currencies over the past month.

After a tech selloff in the US, global investors sold $2.38 billion of shares in Taiwan’s stock market Wednesday on a net basis, the most in about 11 months. The Taiwan dollar has also been weakening because the market is adjusting from previous distortions caused by heavy US dollar hedging, Wee Khoon Chong , senior APAC market strategist at BNY, said.